A $10,000 loan can be repaid quarterly for 5 years using amortization 10% or by a...

  

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A $10,000 loan can be repaid quarterly for 5 years using amortization 10% or by a sinking fund to repay both principal and and an interest rate of j12 accumulated interest. If paid by a sinking fund, the interest on the loan will be j12 quarterly cost the same for both methods? 9%. What annual effective rate must the sinking fund earn to make the A $10,000 loan can be repaid quarterly for 5 years using amortization 10% or by a sinking fund to repay both principal and and an interest rate of j12 accumulated interest. If paid by a sinking fund, the interest on the loan will be j12 quarterly cost the same for both methods? 9%. What annual effective rate must the sinking fund earn to make the

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The question is silent on the sinking fund option whether the interes... View the full answer