Dan borrowed $906.00 today and is to repay the loan in two equal payments. The first payment is in three months, and the second payment is in nine months. If interest is 5% per annum on the loan, what is the size of the equal payments? Use today as the focal date. The size of the equal payments is $ (Round the final answer to the nearest cent as needed Round all intermediate values to six decimal places as needed.)

Dan borrowed $906.00 today and is to repay the loan in two equal payments. The first payment is in three months, and the second payment is in nine months. If interest is 5% per annum on the loan, what is the size of the equal payments? Use today as the focal date. The size of the equal payments is $ (Round the final answer to the nearest cent as needed Round all intermediate values to six decimal places as needed.)

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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