Conditional sale contract requires two payments

Assignment Help Financial Management

Reference no: EM13878750

A conditional sale contract requires two payments three and six months after the date of the contract. Each payment consists of $1,890 principal plus interest at 12.5% on $1,890 from the date of the contract. One month into the contract, what price would a finance company pay for the contract if it requires a(n) 25% rate of return on its purchases?

Reference no: EM13878750

Questions Cloud

Identify at least four risks that could jeopardize wedding : Identify at least four risks that could jeopardize the wedding and create a risk assessment matrix including a response plan for each of the risks.

Define the importance of time value of money : Define the importance of time value of money including compounding (future value), discounting (present value) and annuities. Why do organization leaders need to understand these concepts?

An assignable loan contract executed : An assignable loan contract executed 3 months ago requires two payments of $3,900 plus interest at 9% from the date of the contract, to be paid 4 and 8 months after the contract date. The payee is offering to sell the contract to a finance company in..

Explain how and why the dividend growth model : Thompsen Enterprises is a rapidly growing firm that reinvests all of its income into future projects. Thus, the firm does not pay any dividends, nor does it intend to do so any time in the future. Explain how and why the dividend growth model can or ..

Conditional sale contract requires two payments : A conditional sale contract requires two payments three and six months after the date of the contract. Each payment consists of $1,890 principal plus interest at 12.5% on $1,890 from the date of the contract. One month into the contract, what price w..

Progression of whitman thought process : Write a 10,000 words dissertation on given topic "PROGRESSION OF WHITMAN'S THOUGHT PROCESS"

Paper- factors effecting the location of manufacturing : Write a 3-5 page paper on "The Factors Effecting the Location of Manufacturing and Warehousing Facilities." PLEASE see attached research paper requirements before starting

What will be your next steps in order to re-route project : What will be your next steps in order to re-route the project for success and what do you think will be your challenges and risks?

Solve using dp to minimize total purchase plus storage cost : A food company buys butter from a dairy cooperative and distributes and sells it to restaurants. The next three months have estimated demands of 3,000, 7,000, and 5,000 pounds.

User Account

All Pages