A vending machine costs Php 75,000 if paid in cash. On installment plan, a purchaser should...
A vending machine costs Php 75,000 if paid in cash. On installment plan, a purchaser should pay Php 40,000 down payment and 8 quarterly installments, the first due at the BEGINNING of the first year. If money is worth 15% compunded monthly, determine the quarterly installment
Homework Answers
Effective quarterly rate, r = (1 + 0.15/12)^4 - 1
Set the calculator to BGN mode
I/Y = 5.094533691
N = 8
PV = 75,000 - 40,000 = 35,000
FV = 0
CPT PMT
PMT = -5,172.463367
Quarterly installment = $5,172.463367
Can you please upvote? Thank You :-)
Add Answer to:
A vending machine costs Php 75,000 if paid in cash. On
installment plan, a purchaser should...
A product has a cash value of $ 585,000 and can be purchased financed with the following plan: initial fee of 30% of the...
A product has a cash value of $ 585,000 and can be purchased financed with the following plan: initial fee of 30% of the price of the cash price and the rest to 18 equal monthly installments; The first installment must be paid within eight months and one last payment for $ 80,000 three months after the last monthly installment. If the interest rate is 31% per annum, month due during the first seven months and 9% quarterly thereafter, find...
Current Attempt in Progress On August 1, 2017, Bonita Industries purchased a new machine on a deferred payment bas...
Current Attempt in Progress On August 1, 2017, Bonita Industries purchased a new machine on a deferred payment basis. A down payment of $17500 was made and 4 monthly installments of $14000 each are to be made beginning on September 1, 2017. The cash equivalent price of the machine was $67500 Bonita incurred and paid installation costs amounting to $3500. The amount to be capitalized as the cost of the machine is $67500. $73500 $77000 $71000 Concord Corporation purchased a...
Question 1 View Policies Current Attempt in Progress On August 1, 2017 Coronado Industries purchased a new machine...
Question 1 View Policies Current Attempt in Progress On August 1, 2017 Coronado Industries purchased a new machine on a deferred payment basis. A down payment of $16500 was made and 4 monthly installments of $15000 each are to be made beginning on September 1, 2017. The cash equivalent price of the machine was $69500. Coronado incurred and paid installation costs mounting to $4000. The amount to be capitalized the cost of the machine is 19300 $76500 $73500 $80500 Question...
10. value: 10.00 points You can purchase a residential building lot for $90,000 cash, or for...
10. value: 10.00 points You can purchase a residential building lot for $90,000 cash, or for $20,000 down and quarterly payments of $5000 for four years. The first payment would be due three months after the purchase date. If the money you would use for a cash purchase can earn 8% compounded quarterly during the next four years, which option should you choose? the quarterly payment plan the $90,000 cash price What is the economic advantage in current dollars of...
Mortgage Analysis Part I You are planning to purchase a house that costs $480,000. You plan...
Mortgage Analysis Part I You are planning to purchase a house that costs $480,000. You plan to put 20% down and borrow the remainder. Based on your credit score, you believe that you will pay 3.99% on a 30-year mortgage. Use the function “PMT” to calculate your mortgage payment. Calculate the total cost of the home purchase. (Down payment plus principal (loan amount) plus interest.) Calculate how much interest you will pay in total? Assume that you plan to pay...
You are planning to purchase a house that costs $480,000. You plan to put 20% down and borrow the...
You are planning to purchase a house that costs $480,000. You plan to put 20% down and borrow the remainder. Based on your credit score, you believe that you will pay 3.99% on a 30-year mortgage. Use function “PMT” to calculate your mortgage payment. Use function “PV” to calculate the loan amount given a payment of $1700 per month. What is the most that you can borrow? Use function “RATE” to calculate the interest rate given a payment of $1700...
4(a) For the use of space, a warehouse owner has been offered the following contract: Year...
4(a) For the use of space, a warehouse owner has been offered the following contract: Year 1: $2,000 at the beginning of year 1 plus $2,000 at the end of year 1 Years 2 to 6: $2,000 per year (end-of-year payments) for years 2 to 6. Years 7 to 15: $3,000 for year 7 and for the following years, an increase of $1000/year (end of year payments) (i.e. year 7 payment will be $3,000, for year 8 the payment will...
You are buying a house that costs $440000 and plan on taking out a 30-year fixed...
You are buying a house that costs $440000 and plan on taking out a 30-year fixed rate mortgage at an annual interest rate of 2.4%. 1)You make a 15% down payment of 66000, and take out a loan for the remaining $374000. How much would your mortgage payments be? (Ignore taxes, fees, and other charges, and round to the nearest penny.) . 2)You make this mortgage payment at the end of the first month. Your mortgage payment at the end of...
The following information relates to R-U Ready Company, a publicly traded company: R. U. Ready acquired Machine B on 1/...
The following information relates to R-U Ready Company, a publicly traded company: R. U. Ready acquired Machine B on 1/1/13 by signing a 9% installment note to be paid in 5 equal installments of $65,000. Each payment is due on 12/31, with the first payment due 12/31/13. The useful life of Machine B is 8 years with no residual value. Assume double declining balance depreciation. Requirement: Present the accounts and dollar amounts that would appear on comparative balance sheets and...
You will consider how to pay for a $2,000 consumer good and/or service someone might need...
You will consider how to pay for a $2,000 consumer good and/or service someone might need to purchase in an emergency, such as a major repair to a car or home. You will analyze two loans for paying for the good and/or service. The first is for someone who has enough money set aside to cover some of the upfront costs (e.g. a down payment) and the second is for someone who does not. Additionally, the second person has less...
Current Attempt in Progress On August 1, 2017, Bonita Industries purchased a new machine on a deferred payment basis. A down payment of $17500 was made and 4 monthly installments of $14000 each are to be made beginning on September 1, 2017. The cash equivalent price of the machine was $67500 Bonita incurred and paid installation costs amounting to $3500. The amount to be capitalized as the cost of the machine is $67500. $73500 $77000 $71000 Concord Corporation purchased a...
Question 1 View Policies Current Attempt in Progress On August 1, 2017 Coronado Industries purchased a new machine on a deferred payment basis. A down payment of $16500 was made and 4 monthly installments of $15000 each are to be made beginning on September 1, 2017. The cash equivalent price of the machine was $69500. Coronado incurred and paid installation costs mounting to $4000. The amount to be capitalized the cost of the machine is 19300 $76500 $73500 $80500 Question...
10. value: 10.00 points You can purchase a residential building lot for $90,000 cash, or for $20,000 down and quarterly payments of $5000 for four years. The first payment would be due three months after the purchase date. If the money you would use for a cash purchase can earn 8% compounded quarterly during the next four years, which option should you choose? the quarterly payment plan the $90,000 cash price What is the economic advantage in current dollars of...
4(a) For the use of space, a warehouse owner has been offered the following contract: Year 1: $2,000 at the beginning of year 1 plus $2,000 at the end of year 1 Years 2 to 6: $2,000 per year (end-of-year payments) for years 2 to 6. Years 7 to 15: $3,000 for year 7 and for the following years, an increase of $1000/year (end of year payments) (i.e. year 7 payment will be $3,000, for year 8 the payment will...
Most questions answered within 3 hours.
-
1) Answer Each question with 1-2 Sentences:
a) How can we use the continuity and change...
asked 31 minutes ago -
5. What is the decimal equivalent of the largest binary
integer that can be obtained with...
asked 12 minutes ago -
Why is the magnitude of the Type Ia supernova always the same
(-19.6)?
asked 29 minutes ago -
A
cylunder of titanium (length = 5.00cm, diameter = 1.20 cm) has a
mass of 25.5...
asked 14 minutes ago -
5. You are a quality control engineer and you are
asked to analyze the lifetime (in hours)...
asked 1 hour ago -
How many ways can 2 people be chosen and arranged in a straight
line if there...
asked 1 hour ago -
(Problem 1d). Leandro has 16 hours per day that he can allocate
to work or leisure....
asked 2 hours ago -
Morganton Company
makes one product and it provided the following information to help
prepare the master...
asked 3 hours ago -
2Al + 3Cl2 --> 2AlCl3
If one mole Al is reacted w two moles Cl2, how...
asked 3 hours ago -
1. You will see some trends in the movement of each currency vs.
the US Dollar....
asked 3 hours ago -
9. (9 pts) An investor with a stock portfolio worth several
hundred thousand dollars sued his...
asked 4 hours ago -
Which statement is true?
a. Unless directed otherwise, the computer automatically
executes C. statements one before...
asked 4 hours ago