An 18-year loan of 21,000 may be repaid under the following two methods: amortization method with equal annual payments at an annual effective rate of 6.1% sinking fund method in which the lender receives an annual effective rate of 6.450% and the sinking fund earns an annual effective rate of j. Both methods require payment of X to be made at the end of each year for 18 years. Calculate j. Round your answer to one decimal place
An 18-year loan of 21,000 may be repaid under the following two methods: amortization method with equal annual payments at an annual effective rate of 6.1% sinking fund method in which the lender receives an annual effective rate of 6.450% and the sinking fund earns an annual effective rate of j. Both methods require payment of X to be made at the end of each year for 18 years. Calculate j. Round your answer to one decimal place
Chapter19: Lease And Intermediate-term Financing
Section: Chapter Questions
Problem 19P
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Please no excel. Thanks
An 18-year loan of 21,000 may be repaid under the following two methods:
amortization method with equal annual payments at an annual effective rate of 6.1%
sinking fund method in which the lender receives an annual effective rate of 6.450% and the sinking fund earns an annual effective rate of j.
Both methods require payment of X to be made at the end of each year for 18 years. Calculate j.
Round your answer to one decimal place
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