Question: A demand loan of $10 000 is repaid by payments of $5000 in one year, $6000 in four years, and a final payment in six

A demand loan of $10 000 is repaid by payments of $5000 in one year, $6000 in four years, and a final payment in six years. Interest on the loan is 10% compounded quarterly during the first year, 8% compounded semi-annually for the next three years, and 7.5 % compounded annually for the remaining years. Determine the final payment.( Please include the steps)

Step by Step Solution

There are 3 Steps involved in it

1 Expert Approved Answer

Step: 1 Unlock blur-text-image

Question Has Been Solved by an Expert!

Get step-by-step solutions from verified subject matter experts

Step: 2 Unlock

Step: 3 Unlock

Students Have Also Explored These Related Finance Questions!

Please answer it quickly its exam and please do it right Question 2 (7 marks) A demand loan of $10 000 is repaid by payments of $5000 in one year, $6000 in four years, and a final payment in six...

9. A demand loan of $10 000 is repaid by payments of $5000 in one year, $6000 in four years, and a final payment in six years. Interest on the loan is 10% p.a. compounded quarterly during the first...

Question 1 a. What will be the future value of a deposit of $ 1750 made into a registered retirement saving plan from March 1,2005, to December 1,2025, at 4.4% compounded quarterly? b. A deposit of...

1. A demand loan of $3000.00 is repaid by payments of $1500.00 after two years, $1500.00 after four years, and a final payment after seven years. Interest is 7% compounded quarterly for the first two...

Hello! Can you help me to answer these questions? Thank you 1. A demand loan of $4000.00 is repaid by payments of $1500.00 after two years, $1500.00 after four years, and a final payment after eight...

Ademand loan of $800000 is repaid by payments of $4000.00 after two years, 5400000wer four years, and finalmente compound your wisconde Two years and 8% compounded monthly after What is the of the...

A demand loan of $4000.00 is repaid by payments of $2000.00 after two years, $2000.00 after four years, and a final payment after eight years. Interest is 9% compounded quarterly for the first two...

5.You borrowed $3000 at 9% per annuum calculated on the unpaid monthly balance and agreed to repay the principal together with interest in monthly payments of $500 each.1How much is the outstanding...

Please check my answer ($2901.84) and provide a detailed solution preferably by hand A demand loan of $8000 is repaid by paymengs of $4000 after two years, $4000 after four years, and a final payment...

1. Kito opened an RRSP deposit account on December 1, 2008, with a deposit of $1700. He added $1700 on July 1, 2010, and $1700 on Febuary 1, 2012. How much is in his account on January 1, 2016, if...

Consider a neutron which is confined to an infinite potential well of width a = 8fm. At time t = 0 the neutron is assumed to be in the state 2x sin sin 7a 2 Y(x,0): = V sin 7a 7a

Decide if each transaction requires the journal entry or not. If needed, please show the journal entry in detail. August 2020 transactions: Aug 3 3 3 5 5 5 7 7 7 10 10 12 Record the reversing entry...

Which of the following statements concerning financial statement presentation is not a true statement? Intangibles are reported separately under intangible Ahets. The balances of all individual...

The force constant of a massless spring is 2 5 . 0 N / m . A mass of 0 . 4 5 kg is oscillating in simple harmonic motion at the end of the spring

15-8. Describe the promotional objective for each stage of the product life cycle.

15-7. Promotional programs can be directed to __________, ___________, or both.

15-5. Cost per contact is high with the element of the promotional mix.