Q1. Aling Azon bought 3 sets of air conditioning unit for her three bedrooms. She agreed to pay 5,000Php down payment and 3,000Php monthly instalments for 1 year. If the rate of interest is 8% compounded per month, what is the equivalent cash price of the air conditioning unit?
Q1. Aling Azon bought 3 sets of air conditioning unit for her three bedrooms. She agreed to pay 5,000Php down payment and 3,000Php monthly instalments for 1 year. If the rate of interest is 8% compounded per month, what is the equivalent cash price of the air conditioning unit?
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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I need your help tutor!
This is how you answer the problem
(a) Identify the Given and the Unknown or what is being asked in the problem
(b)Provide the formula to be used
(c)Plug in the given in the formula if there is a derivation of the formula please show it
(d)Box the final answer. however, the final answer is already included in the problem, what you need to do is to match your answer and the answer in the book. Because in the book they only provide the answer but not the solution.
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Transcribed Image Text:Q1. Aling Azon bought 3 sets of air conditioning unit for her three bedrooms. She agreed to pay
5,000Php down payment and 3,000Php monthly instalments for 1 year. If the rate of interest is 8%
compounded per month, what is the equivalent cash price of the air conditioning unit?
Answer: P = 39,487.35Php
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