Answer:
$925.20
Step-by-step explanation:
Loan Amount, P = $19,500
Rate of interest, r = 3.9%
Time, t = 6 years
Payment mode, n = Quarterly (4)
payment to amortize, EMI = ?
Formula: [tex]EMI=\dfrac{P\cdot \frac{r}{n}}{1-(1+\frac{r}{n})^{-n\cdot t}}[/tex]
where,
n = 4 , Rate of interest , r = 0.039
Put the values into formula
[tex]EMI=\dfrac{19500\cdot \frac{0.039}{4}}{1-(1+\frac{0.039}{4})^{-4\cdot 6}}[/tex]
[tex]EMI=915.20[/tex]
Hence, The payment to amortize the debt is $915.20
