Answered

Welcome to Westonci.ca, where curiosity meets expertise. Ask any question and receive fast, accurate answers from our knowledgeable community. Discover the answers you need from a community of experts ready to help you with their knowledge and experience in various fields. Experience the convenience of finding accurate answers to your questions from knowledgeable experts on our platform.

Someone offers to buy your old Ford F-150 truck for 4 equal annual payments, beginning 2 years from today. If you think that the present value of your Ford Truck is only $9,000 and you assume the interest rate is 10%, which one of the below would be the minimum annual payment that youâ d be willing to accept? $2,839.24 $3,435.48 $3,123.16 $2,250

Sagot :

Answer:

$3,123.16

Explanation:

The computation of the minimum annual payment is as follows:

Given that

RATE = 10%

NPER = 10%

PV = $9,000 × (1 + 0.1) = $9,900

FV = $0

The formula is shown below:

= PMT(RATE,NPER,-PV,FV,TYPE)

After applying the above formula, the monthly payment is $3,123.16

We appreciate your time. Please come back anytime for the latest information and answers to your questions. We appreciate your time. Please come back anytime for the latest information and answers to your questions. Thank you for trusting Westonci.ca. Don't forget to revisit us for more accurate and insightful answers.