Question
Denzel needs a new car. At the dealership, he finds the car that he likes. The dealership gives him two payment options: 1. Pay $15,200
| Denzel needs a new car. At the dealership, he finds the car that he likes. The dealership gives him two payment options: |
| 1. Pay $15,200 for the car today. |
| 2. Pay $2,400 at the end of each quarter for two years. |
| Required: | |
| a. | Assuming Denzel uses a discount rate of 8% (or 2% quarterly), calculate the present value? |
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Auditing Concepts For A Changing Environment
Authors: Larry E. Rittenberg, Bradley J. Schwieger
5th Edition
0324223102, 978-0324223101
