Answered step by step
Verified Expert Solution
Link Copied!

Question

1 Approved Answer

Flat 1 down payment = 200000 Flat 2 down payment = 250000 Number of installments = 5 years Flat 1 per month = 25000 Flat

Flat 1 down payment = 200000

Flat 2 down payment = 250000

Number of installments = 5 years

Flat 1 per month = 25000

Flat 2 per month = 20000

Payment semi-annual payment

Flat 1=60000

Flat 2=55000

At time of the possession Flat 1 should pay 200000 & Flat 2 should pay 300000.At end of 5th year Flat 1 sold 400000 and Flat 2 sold 400000

a) Calculate NPV of Flat 1 & Flat 2 according to the builders payment plan

b) Calculate NPV of Flat 1 & Flat 2 by your own per month plan (k=12%)

Step by Step Solution

There are 3 Steps involved in it

Step: 1

blur-text-image

Get Instant Access to Expert-Tailored Solutions

See step-by-step solutions with expert insights and AI powered tools for academic success

Step: 2

blur-text-image

Step: 3

blur-text-image

Ace Your Homework with AI

Get the answers you need in no time with our AI-driven, step-by-step assistance

Get Started

Recommended Textbook for

Of Synthetic Finance Three Essays Of Speculative Materialism

Authors: Benjamin Lozano

1st Edition

1138790842, 978-1138790841

More Books

Students also viewed these Finance questions

Question

6. Write a job specification.

Answered: 1 week ago