P6-17 (similar to) Question Help
(Related to Checkpoint 6.1)
Checkpoint 6.1)(Loan amortization)On December 31, Beth Klemkosky bought a yacht for $100,000. She paid $14,000 down and agreed to pay the balance in
8 equal annual installments that include both the principal and 15 percent interest on the declining balance. How big will the annual payments be?
a. On December 31, Beth Klemkosky bought a yacht for $100,000 and paid $14,000 down, how much does she need to borrow to purchase the yacht?
_________$(Round to the nearest dollar.)