# Project2 - A = \$3,048.88 N = 180 months c P = \$30,000 A =...

This preview shows pages 1–2. Sign up to view the full content.

EGN 3420 Project 2 – Root Solving Sp 07 On installment loans, the formula below is used to solve for one of the four variables , , A i P and N given values for the remaining three. (1 ) (1 ) 1 N N A i i P i + = + - A is the monthly payment, P is the loan amount, i is the monthly interest rate (decimal value) and N is the duration of the loan (in months). When the interest rate is unknown, it can be obtained by finding the root of the equation (1 ) 0, 0 (1 ) 1 ( ) 1 0, 0 N N A i i i P i f i A i P N + - = + - = - = = Write a program which implements the Bisection and False Position Method to find the interest rate on the following loans: a) P = \$350,000. A = \$2,212.24 N = 360 months b) P = \$350,000.

This preview has intentionally blurred sections. Sign up to view the full version.

View Full Document
This is the end of the preview. Sign up to access the rest of the document.

Unformatted text preview: A = \$3,048.88 N = 180 months c) P = \$30,000. A = \$725.00 N = 48 months The initial bracket is L i = and 1. U i = The iterations should stop when the magnitude of the approximate relative error is less than 0.01%. Fill in the tables with your results. Bisection Loan 1 Loan 2 Loan 3 P \$350,000. \$350,000. \$30,000. A \$2,212.24 \$3,048.88 \$725.00 N (months) 360 180 48 i Annual interest rate (%) Number of iterations False Position Loan 1 Loan 2 Loan 3 P \$350,000. \$350,000. \$30,000. A \$2,212.24 \$3,048.88 \$725.00 N (months) 360 180 48 i Annual interest rate (%) Number of iterations...
View Full Document

{[ snackBarMessage ]}

### What students are saying

• As a current student on this bumpy collegiate pathway, I stumbled upon Course Hero, where I can find study resources for nearly all my courses, get online help from tutors 24/7, and even share my old projects, papers, and lecture notes with other students.

Kiran Temple University Fox School of Business ‘17, Course Hero Intern

• I cannot even describe how much Course Hero helped me this summer. It’s truly become something I can always rely on and help me. In the end, I was not only able to survive summer classes, but I was able to thrive thanks to Course Hero.

Dana University of Pennsylvania ‘17, Course Hero Intern

• The ability to access any university’s resources through Course Hero proved invaluable in my case. I was behind on Tulane coursework and actually used UCLA’s materials to help me move forward and get everything together on time.

Jill Tulane University ‘16, Course Hero Intern