Patricia initially borrowed $6,700 from CIBC Bank at 2.9% compounded quarterly. After 4 years she repaid $1,809, then 6 years after the $6,700 was initially borrowed she repaid $2,010. If she pays off the debt 9 years after the $6,700 was initially borrowed, how much should her final payment be to clear the debt completely? Round all answers to two decimal places if necessary. P/Y = 4 % PV = $ 6700 P/Y = 4 % PV = $ 5711.92 C/Y = 4 PMT= $ 0 Amount owed after 4 years (before the first payment) = $7,520.92 (enter a positive value) P/Y = Amount owed after the first payment of $1,809 (enter a positive value): $ 5711.92 PV = $ C/Y = 4 PMT = $ 0 N = 16 C/Y = PMT = $ FV = $ 7,520.92✓ N= Amount owed after 6 years (before the second payment) = $5816.91 x (enter a positive value) Amount owed after the second payment of $2,010 (enter a positive value): $ N = 12 FV = $ I/Y = 2.9 FV = $5816.91 x X I/Y = 2.9 Final payment (after 9 years); (enter a positive value) $ I/Y= %
Patricia initially borrowed $6,700 from CIBC Bank at 2.9% compounded quarterly. After 4 years she repaid $1,809, then 6 years after the $6,700 was initially borrowed she repaid $2,010. If she pays off the debt 9 years after the $6,700 was initially borrowed, how much should her final payment be to clear the debt completely? Round all answers to two decimal places if necessary. P/Y = 4 % PV = $ 6700 P/Y = 4 % PV = $ 5711.92 C/Y = 4 PMT= $ 0 Amount owed after 4 years (before the first payment) = $7,520.92 (enter a positive value) P/Y = Amount owed after the first payment of $1,809 (enter a positive value): $ 5711.92 PV = $ C/Y = 4 PMT = $ 0 N = 16 C/Y = PMT = $ FV = $ 7,520.92✓ N= Amount owed after 6 years (before the second payment) = $5816.91 x (enter a positive value) Amount owed after the second payment of $2,010 (enter a positive value): $ N = 12 FV = $ I/Y = 2.9 FV = $5816.91 x X I/Y = 2.9 Final payment (after 9 years); (enter a positive value) $ I/Y= %
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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Transcribed Image Text:Patricia initially borrowed $6,700 from CIBC Bank at 2.9% compounded quarterly.
After 4 years she repaid $1,809, then 6 years after the $6,700 was initially borrowed
she repaid $2,010. If she pays off the debt 9 years after the $6,700 was initially
borrowed, how much should her final payment be to clear the debt completely? Round
all answers to two decimal places if necessary.
P/Y = 4
%
PV = $ 6700
P/Y = 4
%
PV = $ 5711.92
C/Y = 4
Amount owed after 4 years (before the first payment) = $ 7,520.92✓
positive value)
PMT= $ 0
P/Y =
PV = $
Amount owed after the first payment of $1,809 (enter a positive value): $ 5711.92 ✓
C/Y = 4
PMT= $0
N = 16
C/Y =
PMT = $
FV = $ 7,520.92✓
N =
N = 12
Amount owed after 6 years (before the second payment) = $5816.91 x (enter a
positive value)
Amount owed after the second payment of $2,010 (enter a positive value): $
FV = $
FV = $5816.91 X
I/Y = 2.9
Final payment (after 9 years); (enter a positive value) $
(enter a
X I/Y = 2.9
I/Y =
%
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