5) You are loaned $100,000 and pay this back by making constant payments at the end...

 

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5) You are loaned $100,000 and pay this back by making constant payments at the end of each year for 40 years. If effective annual interest is i = 3% then find when the outstanding balance first falls below $50,000. 5) You are loaned $100,000 and pay this back by making constant payments at the end of each year for 40 years. If effective annual interest is i = 3% then find when the outstanding balance first falls below $50,000.

Answer rating: 100% (QA)

A loan repays itself by a fixed payment every year We have to find when the outstanding balance fall... View the full answer