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Compound Interest Question...

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Elena_W | 17:54 Sun 25th Oct 2015 | Jobs & Education
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I needed help solving this, A financial obligation requires the payment of $500 in 9 months, $700 in fifteen months, and $600 in 27 months. When can the obligations be discharged by a single payment of $1600 if interest is 10% compounded quarterly? (Let the focal date be now.)

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Someone has already answered this question on your previous post ..... at length by the look of it. What was wrong with that answer?
Question Author
I couldn't understand the method of it, so i decided to repost to see if anyone else would know how to do it.
You might not!!
Elena, if you had acknowledged my effort on the original post but said you didn't understand it, I would have tried to make it clearer. Actually, I now think it would be better to work back from the $600 payment.
I'll give you some guidance but not a complete answer.
If $600 discharged the debt at 27 months, how much was owed after the $700 repayment 12 months earlier? (that is with 4 quarters interest).
So how much before the $700 was paid?
Use the same thinking to work out amounts owing after / before the other two repayments to find the original debt. Then find how long this amount will increase to $1600 at the given interest rate.
Question Author
I really did appreciate your help, but didn't want to bother you by asking for a clarification. I'm sorry if I offended you, and once again I really do appreciate your help. Thanks so much for your time!

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