Pedro bought a new car today from Barboncito Motors. The former proposed to pay the latter the remaining balance of P800,000.00 in 35 equal monthly payments, with the first installment to be made one month from today, plus one final payment of P50,000.00 at the end of 36 months from date of agreement. If the interest rate applicable to the transaction is 12% compounded monthly, and assuming that there will be timely payments, how much is the amount of Pedro's Monthly Payment ?
Pedro bought a new car today from Barboncito Motors. The former proposed to pay the latter the remaining balance of P800,000.00 in 35 equal monthly payments, with the first installment to be made one month from today, plus one final payment of P50,000.00 at the end of 36 months from date of agreement. If the interest rate applicable to the transaction is 12% compounded monthly, and assuming that there will be timely payments, how much is the amount of Pedro's Monthly Payment ?
Chapter4: Time Value Of Money
Section: Chapter Questions
Problem 25PROB
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