Dean Rickert plans to borrow $8,000 for 5 years. The loan will be repaid with a single

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Dean Rickert plans to borrow $8,000 for 5 years. The loan will be repaid with a single payment after 5 years, and the interest on the loan will be computed using the simple interest method at an annual rate of 8%. How much will Dean have to pay in 5 years? How much will he have to pay at maturity if he’s required to make annual interest payments at the end of each year?

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Personal Financial Planning

ISBN: 9781439044476

12th Edition

Authors: Lawrence J. Gitman, Michael D. Joehnk, Randy Billingsley

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