Answered: t gave her an option to pay P10,000…

t gave her an option to pay P10,000 monthly for 1 year. The first payment is due after 6 months. How much is the present value of the loan if the interest rate is 12% converted monthly?

Corporate Fin Focused Approach

5th Edition

ISBN:9781285660516

Author:EHRHARDT

Publisher:EHRHARDT

Chapter4: Time Value Of Money

Section4.17: Amortized Loans

Problem 1ST

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Minerva availed of a cash loan that gave her an option to pay P10,000 monthly for 1 year. The first
payment is due after 6 months. How much is the present value of the loan if the interest rate is 12%
converted monthly?

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