Jane was due to make loan payments of $1659 nine months ago, $3455 three month ago, and $685 in three months. Instead, she is to make a single payment today if money is worth 8.7% and the agreed focal date is today, what is the size of the replacement payment?

Jane was due to make loan payments of $1659 nine months ago, $3455 three month ago, and $685 in three months. Instead, she is to make a single payment today if money is worth 8.7% and the agreed focal date is today, what is the size of the replacement payment?

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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Jane was due to make loan payments of $1659 nine months ago, $3455 three month ago, and $685 in three months. Instead, she is to make a single payment today If
money is worth 8.7% and the agreed focal date is today, what is the size of the replacement payment?

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