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

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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.

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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...
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## This note was uploaded on 06/09/2011 for the course EGM 4320 taught by Professor Klee during the Spring '11 term at University of Central Florida.

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

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