Compute the present value of an annuity of $ 556 per year for 15 years, given a discount rate of 9 percent per annum. Assume that the first cash flow will occur one year from today (that is, at t = 1). Round your answer to 2 decimal places; record your answer without commas and without a dollar sign. 2.
1.Compute the
Round your answer to 2 decimal places; record your answer without commas and without a dollar sign.
2.
Several years ago, Bill Smith borrowed $125,000 to buy his house. He has a 15 year, monthly payment mortgage with an interest rate of 8.75 percent per annum. Bill is thinking about refinancing his house so he would like to know the payoff on his current loan. Assuming that he just made payment number 101, compute the payoff on Bill's loan.
Round your answer to 2 decimal places; record your answer without commas and without a dollar sign.
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