A store manager plans to exchange his old computer at the end of four years for a newer one worth P150,000. The trade-in value of the old computer at that time is estimated to be P4,000. If money can be invested at 12% compounded quarterly, how much must the manager invest at the end of each quarter in order to make the exchange?
A store manager plans to exchange his old computer at the end of four years for a newer one worth P150,000. The trade-in value of the old computer at that time is estimated to be P4,000. If money can be invested at 12% compounded quarterly, how much must the manager invest at the end of each quarter in order to make the exchange?
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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Please do not use excel for computation
A store manager plans to exchange his old computer at the end of four years for a newer one worth P150,000. The trade-in value of the old computer at that time is estimated to be P4,000. If money can be invested at 12% compounded quarterly, how much must the manager invest at the end of each quarter in order to make the exchange?
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