32. Annuity Due. A store offers two payment plans. Under the installment plan, you pay 25% down...
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32. Annuity Due. A store offers two payment plans. Under the installment plan, you pay 25% down and 25% of the purchase price in each of the next 3 years. If you pay the entire bill imme- diately, you can take a 10% discount from the purchase price. Which is a better deal if you can borrow or lend funds at a 5% interest rate? (LO3)
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Fundamentals Of Corporate Finance
ISBN: 9780073382302
6th Edition
Authors: Richard A Brealey, Stewart C Myers, Alan J Marcus
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