Aloan is being repaid with level annual payments based on an annual effective interest rate of 8%. if the amount of principal repaid in the 15th payment is 749.63, calculate the amount of principal repaid in the 7th payment. (a) 375 (b) 405 (c) 437 (d) 472 (e) 510

option (B) 405

Step-by-step explanation:

Data provided in the question:

Annual effective interest rate, r = 8%

Amount of principal repaid in the 15th payment = 749.63

Now,

Under level annual payment,

Principal portion grow by effective interest

Therefore,

Here,

is the principal portion of the payment

thus,

P₇ = P₁₅ × ( 1 + 0.08 )⁽⁷⁻¹⁵⁾

or

P₇ = 749.63 × ( 1.08 )⁻⁸

or

P₇ = 405.00

Hence,

the correct answer is option (B) 405

hi there!

the answer to this question is d: 35

step-by-step explanation:

5 to the power of 2 is 25

2 multiplied by 5 is 10

then you add the 2 numbers and you get 35