A motorcycle is for sale for ₱ 60,500 in cash or on installment terms for ₱ 3,000 per month for 2 years at 12% compounded annually. If you were the buyer, what would you prefer, cash or installment?
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A motorcycle is for sale for ₱ 60,500 in cash or on installment terms for ₱ 3,000
per month for 2 years at 12% compounded annually. If you were the buyer, what
would you prefer, cash or installment?
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- Electro Corporation bought a new machine and agreed to pay for it in equal annual installments of 5,000 at the end of each of the next 5 years. Assume a prevailing interest rate of 15%. The present value of an ordinary annuity of 1 at 15% for 5 periods is 3.35. The future amount of an ordinary annuity of 1 at 15% for 5 periods is 6.74. The present value of 1 at 15% for 5 periods is 0.5. How much should Electro record as the cost of the machine? a. 12,500 b. 16,750 c. 25,000 d. 33,700A motorcycle is for sale P60,000 cash or on installment terms P3,000 per month for 2 years at 12% compounded annualy. If you were the buyer, what would you prefer, cash or installment? Determine the fair market value and show solutions.A car was bought on an installment basis with a monthly installment of P30,000 for 60 months. If the rate is 12% compounded annually, calculate the cash price of the car.
- A company plans to purchase a small delivery truck for R120 000, which will be paid for in 36 equal monthly installments at an annual interest rate of 18%. What will the monthly payment amount be?1. A motorcycle is for sale p60,500 cash or an installment terms p3,000 per month for 2 years at12% compounded annually. If you were the buyer, what would you prefer, cash or installment?A plot of land is sold in installments in 24 equal monthly installments of R$4000 immediately in arrears, plus 4 additional installments due in 7, 14, 21 and 28 months, each of R$9000. Determine the cash price of the land if the interest rate on the loan is 4% per month. The spot value of the land is R$ ?
- A television (TV) set is for sale at P13,499 in cash or on installment terms, P2,500 each month for the next 6 months at 9% compounded monthly. If you were the buyer, what would you prefer, cash or installment?A Honda car can be purchased by paying a down payment of P150,000 and the balance to be paid withtwo installments, the first installment to be after two years and the other which is twice than the firstinstallment would be after another 3 years. If the car could be acquired with 10% down payment and thebalance to be paid with 12 monthly installments of P40,000, determine the amount of the first and secondinstallments of the 1st option if interest rate is 15% compounded semiannuallyA Honda car can be purchased by paying a down payment of P150,000 and the balance to be paid withtwo installments, the first installment to be after two years and the other which is twice than the firstinstallment would be after another 3 years. If the car could be acquired with 10% down payment and the3,000 balance to be paid with 12 monthly installments of P40,000, determine the amount of the first and secondinstallments of the 1st option if interest rate is 15% compounded semiannually.
- A house that sells for P900,000 can be purchased under terms requiring 100 monthly payments. Assume that the first payment begins now and the interest rate is 12% compounded monthly. What is the size of each monthly payment?2. A motorcycle is for sale P 60,500 cash or on installment terms P 3,000 per month for 2 years at 12% compounded annually. If you were the buyer, what would you prefer, cash or installment?A man bought car for P1,050,000.00 on installment basis at the rate of 12% per annum on the unpaid balance. If he paid a downpayment of P300,000.00 in cash and propose to pay the balance in 20 monthly payments, what should these monthly payment be?
