What is the total PV of the 8 monthly payments of $13500 per month. You should assume that the payments are made at the end months 1 through 8. (So this is a ordinary simple
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![You are investigating the cost of project to
renovate the kitchens in a large apartment
building, the payments for this work will be
$32,500 up front and $13500 a month for 8
months, followed by a completion payment of
$31500. To start this project you will need to
purchase equipment for $70,000 at the
beginning of the project and you expect
monthly materials and operating costs to be
about $7,500.
The Rate of Return is 12%.
What is the total PV of the 8 monthly payments
of $13500 per month. You should assume that
the payments are made at the end months 1
through 8. (So this is a ordinary simple
annuity).
Round your answer to the nearest penny.
Your Answer:
Answer](/v2/_next/image?url=https%3A%2F%2Fcontent.bartleby.com%2Fqna-images%2Fquestion%2Febf89683-937a-4183-8535-92576d6ac261%2Fb334236f-5178-4787-8b6d-82a739826e6f%2Fa92mkm9_processed.jpeg&w=3840&q=75)
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