6. Suppose you purchased equipment and agreed to pay the manufacturer $100,000 in 4 years for the equipment. What should you record the cost of the equipment today if your cost of capital is 5%? 7.In the above example, what would you record the cost of the equipment if you make four annual payments of $25,000 at the end of each year?
6. Suppose you purchased equipment and agreed to pay the manufacturer $100,000 in 4 years for the equipment. What should you record the cost of the equipment today if your cost of capital is 5%? 7.In the above example, what would you record the cost of the equipment if you make four annual payments of $25,000 at the end of each year?
Essentials Of Investments
11th Edition
ISBN:9781260013924
Author:Bodie, Zvi, Kane, Alex, MARCUS, Alan J.
Publisher:Bodie, Zvi, Kane, Alex, MARCUS, Alan J.
Chapter1: Investments: Background And Issues
Section: Chapter Questions
Problem 1PS
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I need help solving the bolded question in excel. i have included the first question it is referring to
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6. Suppose you purchased equipment and agreed to pay the manufacturer $100,000 in 4 years for the equipment. What should you record the cost of the equipment today if your cost of capital is 5%? |
| 7.In the above example, what would you record the cost of the equipment if you make four annual payments of $25,000 at the end of each year? |
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