Math questions help! PResent value; a financial institution is willing to discount a...

Matt Ququ

New member
...$25000 loan by 3.84% pe..? per year, compounded semi-annually. The loan was originally due in 5 years.

a) How much is needed today to pay off the loan?

b) How much is the discount?


and

yi is purchasing a used vehicle from a used car lot. The car dealer offers her two payments plans

Plan A: pay $8750 NOW
Plan B: Pay a 1500 down payment now and 7550 in 1 year
If interest is 4% per year, compounded semi-annually, which plan is better deal.
explain how you got the answer and show me the calculations STEP please

like PV=
 
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