Determine the size of the replacement payment

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Question - Two debts, the first of $1600 due three months ago and the second of $1100 borrowed two years ago for a term of four years at 8.6% compounded annually, are to be replaced by a single payment one year from now. Determine the size of the replacement payment if interest is 9.5% compounded quarterly and the focal date is one year from now.

Reference no: EM133143958

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