An old man buys a piece of lot for 150,000 down payment and 12 deferred semi-annual payments of 8500 each, starting three years from now, what is the present value of the investment if the rate of interests is 14% compounded semi-annually?
Mortgages
A mortgage is a formal agreement in which a bank or other financial institution lends cash at interest in return for assuming the title to the debtor's property, on the condition that the obligation is paid in full.
Mortgage
The term "mortgage" is a type of loan that a borrower takes to maintain his house or any form of assets and he agrees to return the amount in a particular period of time to the lender usually in a series of regular equally monthly, quarterly, or half-yearly payments.
An old man buys a piece of lot for 150,000 down payment and 12 deferred semi-annual payments of 8500 each, starting three years from now, what is the
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