A payment of $5000 that was due 20 days ago and another payment of $4000 that is due 50 days from now are to be settled/replaced by a payment of $6000 today and a payment of $X 90- days from today. If r = 11%, what is the value of X using today as the focal date? please show with process
A payment of $5000 that was due 20 days ago and another payment of $4000 that is due 50 days from now are to be settled/replaced by a payment of $6000 today and a payment of $X 90- days from today. If r = 11%, what is the value of X using today as the focal date? please show with process
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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A payment of $5000 that was due 20 days ago and another payment of $4000 that is due 50
days from now are to be settled/replaced by a payment of $6000 today and a payment of $X 90-
days from today. If r = 11%, what is the value of X using today as the focal date?
please show with process
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