You are taking a $2000 loan. You will pay it back in four equal amounts, paid every

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You are taking a $2000 loan. You will pay it back in four equal amounts, paid every 6 months starting 3 years from now. The interest rate is 6% compounded semiannually. Calculate:

(a) The effective interest rate, based on both semiannual and continuous compounding

(b) The amount of each semiannual payment

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Engineering Economics

ISBN: 9780195168075

9th Edition

Authors: Ted G. Feller

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Question Posted: Mar 01, 2010 04:47 AM

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You are taking a $2000 loan. You will pay it back in four equal amounts, paid every

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Engineering Economics

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