You borrow $5000 now and agree to pay this whole amount back in three payments: Payment 1. SX in 3 months. Payment 2. $2X in 7 months. Payment 3. $2X in 12 months. a) Determine X, if (yearly) interest is at 11.0% compounded monthly. b) Determine X, if (yearly) interest is at 11.0% compounded continuously.
You borrow $5000 now and agree to pay this whole amount back in three payments: Payment 1. SX in 3 months. Payment 2. $2X in 7 months. Payment 3. $2X in 12 months. a) Determine X, if (yearly) interest is at 11.0% compounded monthly. b) Determine X, if (yearly) interest is at 11.0% compounded continuously.
Chapter4: Time Value Of Money
Section4.17: Amortized Loans
Problem 1ST
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![You borrow $5000 now and agree to pay this whole amount back in three payments:
Payment 1. SX in 3 months.
Payment 2. $2X in 7 months.
Payment 3. $2X in 12 months.
a) Determine X, if (yearly) interest is at 11.0% compounded monthly.
b) Determine X, if (yearly) interest is at 11.0% compounded continuously.
ANSWER IN FRACTION FORM
PLEASE](/v2/_next/image?url=https%3A%2F%2Fcontent.bartleby.com%2Fqna-images%2Fquestion%2Fee9e051d-1fb4-486b-8600-236f3f71f00b%2Fed493075-36c8-4dc0-8168-d2b195e2b4e5%2Flnleqnt_processed.jpeg&w=3840&q=75)
Transcribed Image Text:You borrow $5000 now and agree to pay this whole amount back in three payments:
Payment 1. SX in 3 months.
Payment 2. $2X in 7 months.
Payment 3. $2X in 12 months.
a) Determine X, if (yearly) interest is at 11.0% compounded monthly.
b) Determine X, if (yearly) interest is at 11.0% compounded continuously.
ANSWER IN FRACTION FORM
PLEASE
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