You want to settle a debt that was scheduled for 3 payments with a single payment in 9 months. Interest on this debt is 10.4%. The payment schedule was originally set as follows: Payment 1: $411.64 due today Payment 2: $610.44 due in 4 months Payment 3: $763.68 due in 1 year Hint* - drawing a timeline first will help to solve this problem. Your answer must include units and be rounded to the correct number of decimal places.
You want to settle a debt that was scheduled for 3 payments with a single payment in 9 months. Interest on this debt is 10.4%. The payment schedule was originally set as follows: Payment 1: $411.64 due today Payment 2: $610.44 due in 4 months Payment 3: $763.68 due in 1 year Hint* - drawing a timeline first will help to solve this problem. Your answer must include units and be rounded to the correct number of decimal places.
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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You want to settle a debt that was scheduled for 3 payments with a single payment in 9 months. Interest on this debt is 10.4%. The payment schedule was originally set as follows: Payment 1: $411.64 due today Payment 2: $610.44 due in 4 months Payment 3: $763.68 due in 1 year Hint* - drawing a timeline first will help to solve this problem. Your answer must include units and be rounded to the correct number of decimal places.
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