Quarterly payments of P2,000 at the end of each term for 5 years with interest rate of 8% compounded
annually.
Answers
Given : Quarterly payments of P2,000 at the end of each term for 5 years with interest rate of 8% compounded annually.
To Find : Loan Amount
Solution:
Quarterly payments of P2,000
=> Annual Payment = P 8000
As interest rate of 8% compounded annually.
R = 8 %
Annual inst allment = 8000
Time = n = 5 Years
EMI Formula = [P x (R/100) x (1+(R/100)ⁿ]/[(1+(R/100)ⁿ-1].
=> 8000 = [P x (8/100) x (1+(8/100)⁵]/[(1+(8/100)⁵-1].
=> 8000 = [P x (8/100) x (1.08)⁵]/[(1.08)⁵-1].
=> 100000 = P (1.08)⁵/[(1.08)⁵-1].
=> P = 31,941.68
Loan Amount = 31,941.68
if interest rate of 8% compounded Quarterly.
Quarterly inst allments = 2000
R = 2 %
n = 20
2000 = [P x (2/100) x (1+(2/100)²⁰]/[(1+(2/100)²⁰-1].
100000 = [P (1.02)²⁰]/[(1.02)²⁰-1]
=> P = 32,702.86
Loan Amount = 32,702.86
Learn more:
brainly.in/question/18029783
an overdraft of rupees 50,000 has to be paid back in annual equal
brainly.in/question/12967798
A man borrowed RM 5000 from a bank on 1st January, 2006. On the
brainly.in/question/11508548
Tendai bought an empty stand for R240 000,00. He made a down ...
brainly.in/question/16424759