Waterway gave the vendor a $11,300zero-interest-bearing note for the equipment on the date of purchase. The note was due in one year and was paid on time. Assume that the effective-interest rate in the market was9%.

Solution

Equipment = $11,300 * 0.91743 = $10,366.96

Discount on notes = $11,300 -$10,366.96 = $933.04

my question is how the 0.91743 comes about?