If you buy a factory for $250,000 and the terms are 20 percent down, the balance to paid off over 30 years at a 12 percent rate of interest on the unpaid balance, what are the 30 equal annual payments.?My question is what would be the pv (resent value), and number of periods. I am doing this in excel

Question
Asked Jan 23, 2019

If you buy a factory for $250,000 and the terms are 20 percent down, the balance to paid off over 30 years at a 12 percent rate of interest on the unpaid balance, what are the 30 equal annual payments.?

My question is what would be the pv (resent value), and number of periods. I am doing this in excel

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Step 1

Total price of factory is $ 250000.

Down payment @ 20% i.e. 250000 *20% = 50000 has been made. Therefore, the balance to be financed through loan amount to be paid in 30 annual instalment at the in...

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