If you borrow $18,000 today with a loan term of 2 years and semiannual repayments of $4,500, how much will your third interest payment be with an annual interestrate of 4%?O a. $270O b. $180Oc. $380O d. $360

The problem is asking us to calculate the third interest payment on a loan of $18,000 with…

Answered: If you borrow $18,000 today with a loan…

Corporate Fin Focused Approach

5th Edition

ISBN:9781285660516

Author:EHRHARDT

Publisher:EHRHARDT

Chapter4: Time Value Of Money

Section4.17: Amortized Loans

Problem 1ST

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If you borrow $18,000 today with a loan term of 2 years and semiannual repayments of $4,500, how much will your third interest payment be with an annual interest rate of 4%? O a. $270 O b. $180 Oc. $380 O d. $360