Mort is to pay off a loan of $60,000 with equal payments at the end of every month over 10 years (i.e., 120 months). The ANNUAL effective rate is 8%. Mort decides that he can actually manage to pay double the monthly payment each month. How many MONTHS will it take him to pay off the loan? (Include the final month where the last payment will be smaller than all the rest.)

Mort is to pay off a loan of $60,000 with equal payments at the end of every month over 10 years (i.e., 120 months). The ANNUAL effective rate is 8%. Mort decides that he can actually manage to pay double the monthly payment each month. How many MONTHS will it take him to pay off the loan? (Include the final month where the last payment will be smaller than all the rest.)

Financial Accounting Intro Concepts Meth/Uses

14th Edition

ISBN:9781285595047

Author:Weil

Publisher:Weil

ChapterA: Appendix - Time Value Of Cash Flows: Compound Interest Concepts And Applications

Section: Chapter Questions

Problem 14E

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