Question: A person borrows $2000 to be repaid in 3 instalments, one in 6 months, one in 12 months and one in 18 months. The

A person borrows $2000 to be repaid in 3 instalments, one in

A person borrows $2000 to be repaid in 3 instalments, one in 6 months, one in 12 months and one in 18 months. The second payment is to be twice as big as the first payment and the third payment is to be 3 times the first payment. What will be the size of the payments if the focal date is today and the simple interest rate is 10% p.a.? $2000 Focal Date X 1st Payment in 6 months 2X 2nd payment in 12 months 3X 3rd payment in 18 months

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The first payment will be 667 the second payment will be 1333 and the third paymen... View full answer

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