Renaldo borrows $8,000 at 6% compounded annually and agrees to repay at the following schedule:?

Answers:2   |   LastUpdateAt:2012-11-05 16:14:03  

Question
Janeille
Asked at 2012-08-18 16:24:02
Renaldo borrowed $ 8000 from his aunt today to help pay college expenses. He agrees to pay the loan in accordance with the following schedule , at a rate of 6 percent / year compounded annually.

End of Year Cash Flow
0
$ 8000 1
$ 0 2
$ 0 3
$ 0 4
$ 0 5 - $ X
6 - ( X + 100)
7 - ( X + 400)
8 - $
2X
a) Find the value of X such that the loan is fully repaid with the last payment.
Answer1KeslerAnswered at 2012-09-18 05:09:03
x + ( x 100) + (400 x ) +2 x = 8000 MedlinePlus MedlinePlus 500 x 3 x 2 = 8000 MedlinePlus MedlinePlus 5x = 7500 MedlinePlus MedlinePlus x = 1500
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