Problem 1. If Hudson Inc borrows $500,000 on a 10% add-on basis, payable in 12 equal end-of-month installments, how large would the monthly payments be?
Problem 2. If Tapley Inc borrows $600,000 on a 10% add-on basis, payable over 3 years in 36 equal end-of-month installments, how large would the monthly payments be?