Braddy Machinery sold some equipment for $8,500 and established a promissory note requiring 6.50% compounded semi-annually, and due in 3½ years. After 2 years, the note was sold to a finance company at a discount rate of 11% compounded quarterly. What are the proceeds of the sale? (answer(s) should be rounded to the nearest cent.)
Braddy Machinery sold some equipment for $8,500 and established a promissory note requiring 6.50% compounded semi-annually, and due in 3½ years. After 2 years, the note was sold to a finance company at a discount rate of 11% compounded quarterly. What are the proceeds of the sale? (answer(s) should be rounded to the nearest cent.)
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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Braddy Machinery sold some equipment for $8,500 and established a promissory note requiring 6.50% compounded semi-annually, and due in 3½ years. After 2 years, the note was sold to a finance company at a discount rate of 11% compounded quarterly. What are the proceeds of the sale? (answer(s) should be rounded to the nearest cent.)
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