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Scheduled payments of $925 due today and $1395 due in 15 months are to be...

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Accounting

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Scheduled payments of $925 due today and $1395 due in 15 months are to be replaced by two payments: a $1885 payment 9 months from today and an unknown payment at the focal date of 27 months from today. Money earns 10.9% compounded annually. In your rough work, it may be helpful to draw a timeline with the appropriate focal date for the unknown payment. Using V/Y=10.9,P/Y=1, and PMT=0, determine the economically equivalent value for each payment at the focal date and enter the values in the blanks. Round all dollar values to two decimal places. Moving $925 due today to the focal date: N= A. PV= A. FV= Moving $1395 due in 15 months to the focal date: N= A. PV= A) FV= Moving $1885 due in 9 months to the focal date: N= A) PV= A3FV= The amount of the unknown payment at the focal date is =

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