Calculating the car current value
Problem:
Today you buy a used car. The dealer accepts a down payment of $2,000 and lets you pay $1,900 per year for 5 years. The interest rate on the loan was 6%. How much was the car?
Now Priced at $20 (50% Discount)
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The interest rate on the loan was 6%. How much was the car?
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Question: What is the term structure of interest rates, and its three facts?
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