Mr. Anton received two offers for the old equipment he is selling. Mr. Brando will pay P6,500 in cash. Mr. Castilla will pay P7,000 consisting of a down payment of P1,000 and 12 monthly payments of P500. If the instalment interest rate is 24% compounded monthly, which offer should Mr. Anton accept?
Mr. Anton received two offers for the old equipment he is selling. Mr. Brando will pay P6,500 in cash. Mr. Castilla will pay P7,000 consisting of a down payment of P1,000 and 12 monthly payments of P500. If the instalment interest rate is 24% compounded monthly, which offer should Mr. Anton accept?
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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Mr. Anton received two offers for the old equipment he is selling. Mr. Brando will pay P6,500 in cash. Mr. Castilla will pay P7,000 consisting of a down payment of P1,000 and 12 monthly payments of P500. If the instalment interest rate is 24% compounded monthly, which offer should Mr. Anton accept?
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