At the end of 2019, the business has a notes payable with maturity value of TL12.000. The maturity date of the note is March 31, 2020. If the discount rate is 15%, what is the present value of the note on December 31, 2019 by using maturity value method? a. TL11.400 b. TL10.200 c. TL11.566 d. TL11.550
At the end of 2019, the business has a notes payable with maturity value of TL12.000. The maturity date of the note is March 31, 2020. If the discount rate is 15%, what is the present value of the note on December 31, 2019 by using maturity value method? a. TL11.400 b. TL10.200 c. TL11.566 d. TL11.550
Chapter5: The Time Value Of Money
Section: Chapter Questions
Problem 36P
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Question
At the end of 2019, the business has a notes payable with maturity value of TL12.000. The maturity date of the note is March 31, 2020. If the discount rate is 15%, what is the present value of the note on December 31, 2019 by using maturity value method?
a.
TL11.400
b.
TL10.200
c.
TL11.566
d.
TL11.550
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