A loan of $1400 is due in 1 year at a simple interest rate of 12%. Partial

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A loan of $1400 is due in 1 year at a simple interest rate of 12%. Partial payments of $400 in 2 months, $25 in 6 months, and $700 in 8 months are made

A. Construct a timeline clearly showing the timing of the debt and all repayments.

B. Determine the balance due at the end of the 12 months using the merchant rule

C. Determine the balance due at the end of the 8 months using the declining balance method.

Related Book For answer-question

Engineering economy

ISBN: 978-0073376301

7th Edition

Authors: Leland Blank, Anthony Tarquin

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Posted Date: Jun 01, 2020 07:13 AM

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A loan of $1400 is due in 1 year at a simple interest rate of 12%. Partial

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Engineering economy

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