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leslady told her that she can purchase it on installment basis to be paid with oney is worth 8% compounded annually, what is her yearly amortization if e to be made at beginning of each year?

leslady told her that she can purchase it on installment basis to be paid with oney is worth 8% compounded annually, what is her yearly amortization if e to be made at beginning of each year?

Essentials Of Investments
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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INSTRUCTIONS: Solve the following problems. Round off your final answers to two decimal places, if necessary. Input the values only as your final answers (do not include the percent sign, and currency symbols). Draw the cash flow diagram.
Transcribed Image Text:INSTRUCTIONS: Solve the following problems. Round off your final answers to two decimal places, if necessary. Input the values only as your final answers (do not include the percent sign, and currency symbols). Draw the cash flow diagram.
4. Your mother bought an oven-toaster costing P12,000 if paid in cash. However, the saleslady told her that she can purchase it on installment basis to be paid within 5 years. If money is worth $% compounded annually, what is her yearly amortization if all payments are to be made at beginning of each year?
Transcribed Image Text:4. Your mother bought an oven-toaster costing P12,000 if paid in cash. However, the saleslady told her that she can purchase it on installment basis to be paid within 5 years. If money is worth $% compounded annually, what is her yearly amortization if all payments are to be made at beginning of each year?
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