Answer to Question #317623 in Financial Math for Busi

Question

Buildmazing Developers need an amount of money to expand their business. They secure a loan at an

interest rate of 10,5% per year, compounded annually. The outstanding balance will be repaid in equal

payments of R137 828,00 at the end of each year for the next seven years. Considering the amortisation

schedule, the principle repaid during the first three years, rounded to the nearest rand,is

Answer 1

$P3=28778.30\times3=86334.91$