Quantitative Problem: You need $11,000 to purchase a used car. Your wealthy uncle is willing to...

Quantitative Problem: You need $11,000 to purchase a used car. Your wealthy uncle is willing to lend you the money as an amortized loan. He would like you to make annual payments for 4 years, with the first payment to be made one year from today. He requires a 9% annual return.

What will be your annual loan payments? Do not round intermediate calculations. Round your answer to the nearest cent.
$
How much of your first payment will be applied to interest and to principal repayment? Do not round intermediate calculations. Round your answers to the nearest cent.
Interest: $

Principal repayment: $

Expert Solution

calc:

jeff jeffy answered 2 years ago

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