I dont know where to start. Thanks for the help
1. How much can you borrow if the interest rate is 5% and you can afford to pay $7000 at the end of each year and you want to pay the loan off in 12 years.
Perhaps you can view this thread : http://www.mathhelpforum.com/math-he...s-problem.html
and use this formula :
$\displaystyle A \;=\;P\,\frac{i(1+i)^n}{(1+i)^n-1}
$