A ten-bagger concrete mixer can be purchased with a down payment of P18,000 and equal installments of P1200 each paid at the end of the month for the next 14 months. If money is worth 15% compounded monthly, determine the equivalent cash price of the mixer.
A ten-bagger concrete mixer can be purchased with a down payment of P18,000 and equal installments of P1200 each paid at the end of the month for the next 14 months. If money is worth 15% compounded monthly, determine the equivalent cash price of the mixer.
Chapter5: The Time Value Of Money
Section: Chapter Questions
Problem 9P
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A ten-bagger concrete mixer can be purchased with a down payment of P18,000 and equal installments of P1200 each paid at the end of the month for the next 14 months. If money is worth 15% compounded monthly, determine the equivalent cash price of the mixer.
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