Logo
Home Study Material Contact Search
AI Chat FREE
  1. business
  2. accounting
  3. question 6 (4 points) a company is buying a machin

Question 6 (4 points) A company is buying a machine that would cost $300,000 if...

50.1K

Verified Solution

Question

Accounting

image
Question 6 (4 points) A company is buying a machine that would cost $300,000 if purchased for cash. They will make a down payment of $30,000 on January 1, 2021 and finance the rest at 8% with equal payments starting January 1, 2022 and continuing for 8 years. 30,000 - ?1st----?2nd-----3rd? etc ---8th? -- The PV of an Ordinary Annuity for 8 periods and 8% is 5.741664 The PV of an Annuity Due for 8 periods and 8% is 6.20637 The FV of an Ordinary Annuity for 8 periods and 8% is 10.63663 The PV of 1 for 8 periods and 8% is.54027 The FV of 1 for 8 periods and 8% is 1.85093 What is the amount of the equal payment they will be making? Show work rounding to nearest whole dollar for payment

Answer & Explanation Solved by verified expert
Get Answers to Unlimited Questions

Join us to gain access to millions of questions and expert answers. Enjoy exclusive benefits tailored just for you!

Membership Benefits:
  • Unlimited Question Access with detailed Answers
  • Zin AI - 3 Million Words
  • 10 Dall-E 3 Images
  • 20 Plot Generations
  • Conversation with Dialogue Memory
  • No Ads, Ever!
  • Access to Our Best AI Platform: Flex AI - Your personal assistant for all your inquiries!
Become a Member

Other questions asked by students