Jasmin bought a laptop amounting P45,000 in an installment basis with 1.5% annual interest. She provides a P5000 downpayment and promise to pay P3000 at the end of 1st year, 9000 at the end of 2nd year, 4000 at the end of 5th year and the remaining balance at the end of 8th year. Find the remaining balance and create a cash flow diagram.

Jasmin bought a laptop amounting P45,000 in an installment basis with 1.5% annual interest. She provides a P5000 downpayment and promise to pay P3000 at the end of 1st year, 9000 at the end of 2nd year, 4000 at the end of 5th year and the remaining balance at the end of 8th year. Find the remaining balance and create a cash flow diagram.

Intermediate Accounting: Reporting And Analysis

3rd Edition

ISBN:9781337788281

Author:James M. Wahlen, Jefferson P. Jones, Donald Pagach

Publisher:James M. Wahlen, Jefferson P. Jones, Donald Pagach

ChapterM: Time Value Of Money Module

Section: Chapter Questions

Problem 4MC: Refer to the present value table information on the previous page. What amount should Brett have in...

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Refer to the present value table information on the previous page. What amount should Brett have in his bank account today, before withdrawal, if he needs 2,000 each year for 4 years, with the first withdrawal to be made today and each subsequent withdrawal at 1-year intervals? (Brett is to have exactly a zero balance in his bank account after the fourth withdrawal.) a. 2,000 + (2,000 0.926) + (2,000 0. 857) + (2,000 0.794) b. 2,0000.7354 c. (2,000 0.926) + (2,000 0.857) + (2,000 0.794) + (2,000 0.735) d. 2,0000.9264
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