Problem:
Stacy took out a loan for $15,000. Her note was for 300 days at 5% ordinary interest. On day 100 she made a partial payment of $5,000. On day 200 she made a second payment of $5,000. On day 250 she made yet a third payment of $2,500.
Requirement:
Question 1: What is the new maturity value of the loan after all three payments have been made? Show all of your work.
Question 2: How much did she save by making the partial payments?
Note: Provide support for rationale.