Real rate of return on the loan


Problem:

You take out a loan for $16101 that has equal nominal annual payments over the next five years. The real rate of return on the loan is 3.9%, and the annual inflation rate is 2.1%.

Illustrate out:

Question: What will the payments be? Explain in detail and specify all calculation and formulas.

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Finance Basics: Real rate of return on the loan
Reference No:- TGS0876827

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