bought complex for $4 million. They made an initial down payment of 10% and obtained financing for the balance. If the loan is to be amortized over 14years at an interest rate of 11% per year compounded quarterly, find the required quarterly payment.
SINCE down payment of 400,000 is made the balance will be 4,000,000-400,000=3600,000 which is supposed to be paid on quarter basis per year.Therefore the quarterly amount will be 3600,000/(1.0275)^56=787,988.70
Dec 10th, 2014
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