On January 4,2016, Minggun, borrowed P24,000 and promised to pay the principal and the interest at 12% compounded semiannually on July 4, 2021. How much will she repay?

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
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kindly provide a cash flow diagram for this problem and solution thankyou

On January 4,2016, MinBEun borrowed P24,000 and promised to pay the principal and the
interest at 12% compounded semiannually on July 4, 2021. How much will she repay?
Given:
P = 24,000
n= 2
r = 12% = 0.12
DETERMINING THE time (t)
JANUARY 4, 2016, January = !
JULY 4, 2021, July = 7.
7-1 = 6 months
5 YEARS and 6 months
5 + = 5.5 Years
USING COMPOUND INTEREST FORMULA:
A = P (1+ %
0.12 a
A = 24,000 (1+
A = 24,000 (1.898)
A = 45,559. 17 or 45,559
Transcribed Image Text:On January 4,2016, MinBEun borrowed P24,000 and promised to pay the principal and the interest at 12% compounded semiannually on July 4, 2021. How much will she repay? Given: P = 24,000 n= 2 r = 12% = 0.12 DETERMINING THE time (t) JANUARY 4, 2016, January = ! JULY 4, 2021, July = 7. 7-1 = 6 months 5 YEARS and 6 months 5 + = 5.5 Years USING COMPOUND INTEREST FORMULA: A = P (1+ % 0.12 a A = 24,000 (1+ A = 24,000 (1.898) A = 45,559. 17 or 45,559
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