Interest Problem can someone help plz?

Question

On January 1, Laura Brown borrowes $1000 from the Friendly Finance Company. The loan is to be repaid by four equal payments, which are due at the end of March, June, September and December. If the finance company charges 18% interest, compounded quarterly, what is the amount of each payment? what is the effective annual interest rate?

Answer 1

I am not sure what you mean by 18% compounded monthly. If it means 18/4 = 4.5% per quarter then $279 needs to be paid each quarter and the effective rate is 19,25 %.

To compute this I used the following online calculator:

http://www.numericalexample.com/content/...

Answer 2

46%