The following cash flow diagram indicates the monthly payments you will have in the future. Assume...
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The following cash flow diagram indicates the monthly payments you will have in the future. Assume that the interest rate is 24% per year. $3.200 $2.00 $2,400 $2.000 16 17 I819 20 21 a) (15 points) What monthly amount should you save for the first 8 months to complete the following payments starting trom 18th month, if your patents will also deposit into your account $800 at the beginning of month 57 b) (15 points) Explain how your answers to (a) will change if the interest rate decreases Write your comments in your words The following cash flow diagram indicates the monthly payments you will have in the future. Assume that the interest rate is 24% per year. $3.200 $2.00 $2,400 $2.000 16 17 I819 20 21 a) (15 points) What monthly amount should you save for the first 8 months to complete the following payments starting trom 18th month, if your patents will also deposit into your account $800 at the beginning of month 57 b) (15 points) Explain how your answers to (a) will change if the interest rate decreases Write your comments in your words
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Answer a Solution 72138 Working PV of cash flows from 18th months PV 2000 PA 2 4 PF 2 18 400 PG 2 4 ... View the full answer
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