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Question - Mr. and Mrs. Norman purchased a ski chalet for $36000. They paid $4000 down and agreed to make equal payments at the end of every month for 15 years. Interest is %8 compounded semi-annually.
Required -
a. What is the size of the payment every 3 months?
b. For the first payment, how much interest is paid? How much of the principle is repaid and what is the new balance?
c. Use the retrospective method to compute the outstanding principle after the 8th payment has been made?
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