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Alyson, another investor, has also purchased an HP for the original price of $942. 34812158196 Two years pass and Alyson hasjust received the annual payment
Alyson, another investor, has also purchased an HP for the original price of $942. 34812158196 Two years pass and Alyson hasjust received the annual payment of $46 She IS considering selling the HP. Again, the original information regarding llP's has been repeated below. 0 Customers pay $942.34812158196 to buy an HP. 0 The HP will pay out S46 at the end of each year for 14 years 0 The HP will pay out a further single payment of $1,000 after 14 years 0 There are no further payments after this single payment at time 14. (a) Barney is willing to purchase the HP from Alyson. He requires a return of 4.55% pa. effective. What is the maximum price Barney is willing to pay? Givgyour answer in dollars, to the nearest cent. Mlllllllllll lllllllllll'll D m
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