You purchase a washing machine and dryer for P37,500. You pay 20% down and agree to repay the balance in 12 equal monthly payments. The finance charge on the balance is 8% simple interest. Find the a) finance charge b) estimated annual percentage rate. Round to the nearest hundredth of a percent.

You purchase a washing machine and dryer for P37,500. You pay 20% down and agree to repay the balance in 12 equal monthly payments. The finance charge on the balance is 8% simple interest. Find the a) finance charge b) estimated annual percentage rate. Round to the nearest hundredth of a percent.

EBK CONTEMPORARY FINANCIAL MANAGEMENT

14th Edition

ISBN:9781337514835

Author:MOYER

Publisher:MOYER

Chapter16: Working Capital Policy And Short-term Financing

Section: Chapter Questions

Problem 14P

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