What are you asking; which keys to hit on your calculator?
Hey everyone, im having a bit of trouble remembering how to do these questions from corporate finance
A 29 year old loan requires weekly payments of 125.43 including interest at 24.50% compounded weekly.
a) What was the original amount of the loan?
b) What is the loan's balance 23.00 years later (just after the schedualed payment)?
I have a texes instruments BAII Plus calculator so im able to use that to do the calculations
Thanks in advance
So far I have:
PV = Compute
I/Y = 24.50
N = 52*29 = 1508? (compounded weekly)
PMT = 125.43
FV = no clue how to calculate this
NO. Answer is much higher: $26,600
If I lend you $3392, will you pay me back $125.43 per week for 29 years?
NO. Answer is $20,480PV = 3392
I/Y = 24.50
N = 23
PMT = 123.43
FV = Compute
P/Y = 52
therefore future value = 6818
Anyhow, you should realise that balance owing reduces gradually....
You're having input problems it looks like; check the manual that came
with your calculator...or ask someone who knows how to help you...