Question

You owe your parents $29,000 (in present day dollars) and want to repay them in equal...

You owe your parents $29,000 (in present day dollars) and want to repay them in equal amounts the first to occur in 3 years from today and the other in 8 years from today. If the interest rate is 14.7% per annum compounding monthly, what will be the amount of each repayment?

Select one: a. $30340 b. $44954 c. $93331 d. $43761

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Answer #1

Given,

Present value = $29000

Interest rate = 14.7%

Solution :-

A

Amount of each repayment = $30340

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