Melvin availed a loan from a bank that gave him an option to pay Php 25,700 monthly for 2 years. The payment is due 6 months from now. a. What is k (time deferral)? Period/s b. How much is the present value of the loan if the interest rate is 4% converted monthly? Round off the answer to two decimal places.

Melvin availed a loan from a bank that gave him an option to pay Php 25,700 monthly for 2 years. The payment is due 6 months from now. a. What is k (time deferral)? Period/s b. How much is the present value of the loan if the interest rate is 4% converted monthly? Round off the answer to two decimal places.

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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You take out a 25-year $170,000 mortgage loan with an APR of 9% and monthly payments. In 12 years you decide to sell your house and pay off the mortgage. What is the principal balance on the loan? (Round the monthly loan payment to 2 decimal places when computing the answer. Round your answer to 2 decimal places.) Principal balance on the loan $ |
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