Homework answers / question archive / Cindy borrows 120,000 at an annual effective rate of 5%

Cindy borrows 120,000 at an annual effective rate of 5%

Finance

Share With

Cindy borrows 120,000 at an annual effective rate of 5%. To repay the loan, she makes 20 end of year payments. All 20 payments contain equal principal. Additionally, each payment also contains the interest due on the unpaid balance. Calculate the sum of the 20 end of year payments.