Hats Down has just rented a warehouse and must pay a monthly rent of $12,000 for the

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Hats Down has just rented a warehouse and must pay a monthly rent of $12,000 for the next 9 years. The first payment is due today. What is the value of the payments today if the APR is 6.36%, compounded monthly?

r = 6.36%/12 = 0.53%

Please explain the Formula. if the interest is 6.36% should we be putting it in decimal form .0636/12?

Related Book For answer-question

Contemporary Business Mathematics with Canadian Applications

ISBN: 978-0133052312

10th edition

Authors: S. A. Hummelbrunner, Kelly Halliday, K. Suzanne Coombs

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Posted Date: Apr 02, 2024 06:07 AM

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Hats Down has just rented a warehouse and must pay a monthly rent of $12,000 for the

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PV of annuity due can be computed by using the formula A 1 r 1 rn 1 r 1 rn Where A is t... View the full answer

Contemporary Business Mathematics with Canadian Applications

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