Lia was supposed to make payments of $1,766 6 years ago and $1000 5 years ago to settle a loan. If Lia would like to settle both of the payments today, what total amount would she have to pay if interest of 4.70% compounded semi-annually is charged?

Economics Today and Tomorrow, Student Edition
1st Edition
ISBN:9780078747663
Author:McGraw-Hill
Publisher:McGraw-Hill
Chapter6: Saving And Investing
Section6.1: Why Save?
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Lia was supposed to make payments of
$1,766 6 years ago and $1000 5 years ago
to settle a loan. If Lia would like to settle
both of the payments today, what total
amount would she have to pay if interest of
4.70% compounded semi-annually is
charged?
Transcribed Image Text:Lia was supposed to make payments of $1,766 6 years ago and $1000 5 years ago to settle a loan. If Lia would like to settle both of the payments today, what total amount would she have to pay if interest of 4.70% compounded semi-annually is charged?
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