Hey guys, can someone please check if this answer is correct or did I do any mistake in between .
Ms. Halliday received a mortgage loan from the Bank of Nova Scotia for $60,000 at 11.25% compounded semi-annually for a five-year term. Monthly payments were based on a 20 year amortization period.
Here I am trying to look for the payment...
PV 60,000 n (12)(20) = 240 i 11.25/2=5.625 % c=2/12=0.16
PV= PMT [1-(1+i)^-n /i]
60000=PMT [ 1-(1+0.056 ^-240/0.056 ] = 3360.00
Ms. Halliday received a mortgage loan from the Bank of Nova Scotia for $60,000 at 11.25% compounded semi-annually for a five-year term. Monthly payments were based on a 20 year amortization period.
Here I am trying to look for the payment...
PV 60,000 n (12)(20) = 240 i 11.25/2=5.625 % c=2/12=0.16
PV= PMT [1-(1+i)^-n /i]
60000=PMT [ 1-(1+0.056 ^-240/0.056 ] = 3360.00