Author Question: Ryan must pay off a loan of 3,500 in 5 years. Use the appropriate formula to find the amortization ... (Read 107 times)

saliriagwu · **on:** Jun 24, 2018

Ryan must pay off a loan of 3,500 in 5 years. Use the appropriate formula to find the amortization payment he would need to make each six months, at 12 interest compounded semiannually.
A) 475.54
B) 970.93
C) 195.69
D) 394.89

Question 2

What amortization payment would you need to make each year, at 12 interest compounded annually, to pay off a loan of 4,000 in 6 years? (Use Table 12-2 from your text)
A) 477.11
B) 486.45
C) 972.90
D) 954.22