Find the amount of his new annual payment

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Reference no: EM132073896

Robert is repaying a debt with 17 annual end-of-the-year payments of $800 each.

At the end of the 4th year, he makes an extra payment of $1600. He then refinances his loan by reducing his remaining payment period by 2 years and making level payments over the remaining time.

If the effective rate of interest is 9.9%, what is the amount of his new annual payment?

Reference no: EM132073896

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