For a repayment schedule that starts at EOY four at $Z and proceeds for years 4 through 9 at $2Z, $3Z,..., what is the value of Z if the principal of this loan is $10 comma 000 and the interest rate is 7% per year? Use a uniform gradient amount (G) in your solution.

$778.05625

Explanation:

The computation of the amount of repayment is shown in the attachment below:

Given that

Proceeds for year 4 through 9 at $2Z, $3Z

The Principal of the loan amount = $10,000

Interest rate = 7% per year

Based on the given information, the value of Z or the amount of repayment is  

= Principal of the loan amount ÷ Total annuity

= $10,000 ÷ 12.85254119

= $778.05625

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