Chris has two loans which both require payments to be made at the end of every week. With Loan 1 he borrowed $49789 and is repaying interest only. He will repay the principal after 6 years. With Loan 2 he borrowed $25677 and is repaying principal and interest each week over a period of 4 years. It is now 3 years since both loans were taken out and the interest rate continues to be 8.65% p.a.compounded weekly. What is the total amount Chris must pay this week?
(Assume 52 weeks per year. Give your answer to the nearest cent, omitting the dollar sign.)
For loan 1 in order to get the immediate interest after 3yrs we have to first find the balance on loan after the 3yrs. For... View the full answer