document.write( "<A HREF=/cgi-bin/jump-to-question.mpl?question=1115038>Question 1115038</A>: <I><SPAN STYLE=\"word-break: break-all;\"> how much can lerato borrow from a bank if she can repay the loan by means of quarterly payments of R2000, starting at the end of the first quarter? the interest rate is 18% per annum, compounded quarterly and the duration of the loan is 10 years </SPAN>\n" );
document.write( "</I><HR><TABLE width=100%><TR><TD><B><A HREF=http://www.algebra.com/>Algebra.Com's</A> Answer #730015 by </B><A HREF=/tutors/aboutme.mpl?userid=addingup><B>addingup(3677)</B></A><img src=\"/images/stars/stars-13.gif\" alt=\"\" >&nbsp;<A HREF=/tutors/aboutme.mpl?userid=addingup><IMG SRC=http://www.algebra.com/images/aboutme-small.gif BORDER=0 alt=\"About Me\" VALIGN=MIDDLE></A>&nbsp;<IMG SRC=http://www.algebra.com/cgi-bin/show-face.mpl?user=addingup><BR>You can <A HREF=\"/cgi-bin/embed-solution.mpl?show=1&solution=730015\">put this solution on YOUR website!</A><BR><SPAN STYLE=\"word-break: break-all;\"> this is a present value question.<BR>\n" );
document.write( "2000{[1-(1+(0.18/4))^-(4*10)]/(0.18/4)}<BR>\n" );
document.write( "= 2000[((1-(1.045)^-40)/0.045]<BR>\n" );
document.write( "= 2000((1-0.1719)/0.045)<BR>\n" );
document.write( "= 2000(18.40)<BR>\n" );
document.write( "= 36800<BR>\n" );
document.write( "lerato can borrow 36800 from a bank<BR>\n" );
document.write( " </SPAN>\n" );
document.write( "</TD></TR></TABLE>\n" );