Homework Help: Math

Posted by Anonymous on Monday, November 14, 2011 at 12:46pm.

Jeff Associates borrowed $30,000. The company plans to set up a sinking fund that will repay the loan at the end of 8 years. Assume a 12 % interest rate compounded semiannually. What must Jeff pay into the fund each period of time?

Math - Reiny, Monday, November 14, 2011 at 1:55pm
Let the semi-annual payment be P

30000 = P( 1 - 1.06^-16)/.06

let me know what you got for P

Answer this Question

Related Questions

Math - Jeff Associates borrowed $30,000. The company plans to set up a sinking ...
college - A company is considering the purchase of a forest that is estimated to...
Math - The management of Gibraltar Brokerage Services anticipates a capital ...
math - Janet Home went to Citizen Bank. She borrowed $7,000 at a rate of 8 ...
math - Janet Home went to Citizen Bank. She borrowed $7,000 at a rate of 8 ...
Business Math - October 17, I borrowed $6,000.00 at a rate of 4%. I have to ...
Finance - Mrs. Smith borrowed $20,000 from Last National Bank. She will repay ...
Math sinking payment - Could some one please explian What is a sinking fund ...
math - A man asks for a loan for $5,000 for 14 days. He receives the loan plus $...
Math - 4. Vanna has just financed the purchase of a home for $200 000. She ...

For Further Reading

First Name:
School Subject:
Answer: