In buying a farm worth P 300,000, the purchaser agrees to pay a down payment of P 80,000 and a second payment of P 60,000 at the end of 2 years. The balance is to be paid by 8 equal semi annual payments at 12% compounded semi - annually, starting at the end of 2 1/2 years from now. How much is each semi annual payments.

In buying a farm worth P 300,000, the purchaser agrees to pay a down payment of P 80,000 and a second payment of P 60,000 at the end of 2 years. The balance is to be paid by 8 equal semi annual payments at 12% compounded semi - annually, starting at the end of 2 1/2 years from now. How much is each semi annual payments.

EBK CONTEMPORARY FINANCIAL MANAGEMENT

14th Edition

ISBN:9781337514835

Author:MOYER

Publisher:MOYER

Chapter5: The Time Value Of Money

Section: Chapter Questions

Problem 9P

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