I seem to make a small mistake (picture w/ calculation): "You borrowed some money..."
The correct answer: First: $11,502.43, Second: $8,502.43
My answer: i am close but still going wrong?
- You borrowed some money. Today, you were supposed to pay $12,000 and one year from now pay $7,250. Unfortunately, you cannot afford to make the $12,000 payment that is due today. You arrange to pay off both debts by making a payment 5 months from now and a second payment 1 years from now. You will be charged 8% simple interest.
- The first payment will be $3,000 larger than the second payment. Find the size of each payment. Use 5 months as the focal date.
The correct answer: First: $11,502.43, Second: $8,502.43
My answer: i am close but still going wrong?