Old Balance real estate wants to borrow $3.5 million to invest in a retirement village project. The interest rate for the borrowing is 8% in APR compounded quarterly. If Old Balance wants to pay back a fixed amount of money per quarter in perpetuity, what is the quarterly repayment for Old Balance?
Mortgages
A mortgage is a formal agreement in which a bank or other financial institution lends cash at interest in return for assuming the title to the debtor's property, on the condition that the obligation is paid in full.
Mortgage
The term "mortgage" is a type of loan that a borrower takes to maintain his house or any form of assets and he agrees to return the amount in a particular period of time to the lender usually in a series of regular equally monthly, quarterly, or half-yearly payments.
Old Balance real estate wants to borrow $3.5 million to invest in a retirement village project. The interest rate for the borrowing is 8% in APR compounded quarterly. If Old Balance wants to pay back a fixed amount of money per quarter in perpetuity, what is the quarterly repayment for Old Balance?
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