A person buys a piece of lot for P110,000 down payment and 10 deferred semi-annual payments of P 8,000 each, starting two years from now. What is the present value of the investment if the rate of interest is 12% compounded semi-annually?

A person buys a piece of lot for P110,000 down payment and 10 deferred semi-annual payments of P 8,000 each, starting two years from now. What is the present value of the investment if the rate of interest is 12% compounded semi-annually?

Principles of Accounting Volume 2

19th Edition

ISBN:9781947172609

Author:OpenStax

Publisher:OpenStax

Chapter11: Capital Budgeting Decisions

Section: Chapter Questions

Problem 6MC: You want to invest $8,000 at an annual Interest rate of 8% that compounds annually for 12 years....

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A person buys a piece of lot for P110,000 down payment and 10 deferred semi-annual payments
of P 8,000 each, starting two years from now. What is the present value of the investment if the
rate of interest is 12% compounded semi-annually?

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