If Bob borrowed $30,000, the bank would charge an interest rate of 4% p.a. compounded semi-annually. The loan and interest will have to be repaid to the bank over the 5 years with equal payments needing to be made at the beginning of each period. If Bob borrows the money from this bank, what will be the semi-annual payments that he will make? What is the total cash repayment for the loan over the period? Please dont provide answer in image format thank you
If Bob borrowed $30,000, the bank would charge an interest rate of 4% p.a. compounded semi-annually. The loan and interest will have to be repaid to the bank over the 5 years with equal payments needing to be made at the beginning of each period. If Bob borrows the money from this bank, what will be the semi-annual payments that he will make? What is the total cash repayment for the loan over the period? Please dont provide answer in image format thank you
Essentials Of Investments
11th Edition
ISBN:9781260013924
Author:Bodie, Zvi, Kane, Alex, MARCUS, Alan J.
Publisher:Bodie, Zvi, Kane, Alex, MARCUS, Alan J.
Chapter1: Investments: Background And Issues
Section: Chapter Questions
Problem 1PS
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If Bob borrowed $30,000, the bank would charge an interest rate of 4% p.a. compounded semi-annually. The loan and interest will have to be repaid to the bank over the 5 years with equal payments needing to be made at the beginning of each period. If Bob borrows the money from this bank, what will be the semi-annual payments that he will make? What is the total cash repayment for the loan over the period?
Please dont provide answer in image format thank you
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