Question
In buying a car, Amiel pays P 210,000.00 cash and agrees to pay P790,000.00 for 4 years at 12% interest compounded monthly. Required 1. Find
In buying a car, Amiel pays P 210,000.00 cash and agrees to pay P790,000.00 for 4 years at 12% interest compounded monthly.
Required
1. Find the cash value of the car.
2. Which is better for the depositor, an account that yields 15% compounded annually or 12% compounded monthly?
Step by Step Solution
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Step: 1
value of the car A 210000 790000 After 4 years If A 1000000 A P1 rnnt A 790000 1 001 48 A 1273658...
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Step: 2
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Business Statistics
Authors: Norean Sharpe, Richard Veaux, Paul Velleman
3rd Edition
978-0321944726, 321925831, 9780321944696, 321944720, 321944690, 978-0321925831
