What initial principal or pw will the given repay

Reference no: EM132160310

Question: Why do the values in Problems I, II, and III differ?

Problems I: Assume monthly car payments of $500 per month for 4 years and an interest rate of 0.5% per month. What initial principal or PW will this repay?

Problems II: Assume annual car payments of $6000 for 4 years and an interest rate of 6% per year. What initial principal or PW will this repay?

Problems III: Assume annual car payments of $6000 for 4 years and an interest rate of 6.168% per year. What initial principal or PW will this repay?

Reference no: EM132160310

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