Castor borrowed today from ChuChu P100,000.00 and agreed to repay the loan with 3 equal monthly amounts, the first payment to start 1 month from today. How much is the value of the monthly payment? Construct an amortization schedule. Interest is 12 % compounded monthly.

Castor borrowed today from ChuChu P100,000.00 and agreed to repay the loan with 3 equal monthly amounts, the first payment to start 1 month from today. How much is the value of the monthly payment? Construct an amortization schedule. Interest is 12 % compounded monthly.

Corporate Fin Focused Approach

5th Edition

ISBN:9781285660516

Author:EHRHARDT

Publisher:EHRHARDT

Chapter4: Time Value Of Money

Section4.17: Amortized Loans

Problem 1ST

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4. Castor borrowed today from ChuChu P100,000.00 and agreed to repay the loan with 3 equal
monthly amounts, the first payment to start 1 month from today. How much is the value of the
monthly payment? Construct an amortization schedule. Interest is 12 % compounded monthly.

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