Ralph has just borrowed 1200 dollars to purchase a new stereo, at a nominal rate of interest of 12.2 percent convertible monthly. Although he is charged interest from the moment he borrows the money, the first payment is not due for 8 months. If he will make 24 monthly payments, how much interest is in the 17th payment?
Ralph has just borrowed 1200 dollars to purchase a new stereo, at a nominal rate of interest of 12.2 percent convertible monthly. Although he is charged interest from the moment he borrows the money, the first payment is not due for 8 months. If he will make 24 monthly payments, how much interest is in the 17th 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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Ralph has just borrowed 1200 dollars to purchase a new stereo, at a nominal rate of interest of 12.2 percent convertible monthly. Although he is charged interest from the moment he borrows the money, the first payment is not due for 8 months. If he will make 24 monthly payments, how much interest is in the 17th payment?
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