Define the annual worth of this investment

Assignment Help Business Economics

Reference no: EM13797103

A car is financed as follows: $2,000 as down payment plus equal monthly payments at 8% annual interest rate compounded monthly for 3 years. Original price of the car was $12,500. It is expected that maintenance costs are going to be $700 in the first year increasing by $350 every year thereafter. Define the annual worth of this investment.

(Round your answer to 2 decimal points and don't use the $ sign in your answer)

Reference no: EM13797103

Questions Cloud

Summary of management team of principal stakeholders : The Executive Summary The executive summary should present your recommendations for the LIP. It should be able to stand alone. The executive summary should be addressed to a management team of principal stakeholders.

Quality-improvement initiatives affected capacity strategy : St. Joseph Health Center in St. Charles, Missouri, is on a quest to improve quality. Although good quality is important in any organization, it is especially vital (and urgent) in a medical setting. Would you recommend that St. Joseph's top managers ..

Impact of event to equilibrium price and quantity of event : The following events occur in the market for good B, which is a normal good: Identify the impact of the event to the equilibrium price and quantity of each event.

What is the equilibrium price and quantity shows : Assume we are given a demand schedule that is represented by P = 200 5Q and a supply schedule where P = 110 + 10Q, where P = Price and Q = Quantity. What is the equilibrium price and quantity shows all of your work.

Define the annual worth of this investment : A car is financed as follows: $2,000 as down payment plus equal monthly payments at 8% annual interest rate compounded monthly for 3 years. Original price of the car was $12,500. It is expected that maintenance costs are going to be $700 in the first..

Net cash flow at annual interest rate : Manager of a computer company plans to spend on new hardware $3.5 million in the first year with amounts decreasing by $0.2 million each year thereafter. Income of the company is expected to be $8.0 million the first year increasing by $0.3 million e..

Considering getting involved in electronic commerce : A company is considering getting involved in electronic commerce. A modest e-commerce package is available for $29,000. If the company wants to recover cost in 2 years, what is the equivalent amount of new income that must be received every 6 months ..

Volume play a role in marketing products : Discussion surface area and volume play a role in marketing products, such as advantages and disadvantages. Give specific examples and include related information when appropriate, such as surface area, lateral area, cross section, etc.

Challenge in the u.s. health care system : What are the basic characteristics that differentiate the U.S. health care delivery system from that of other countries?

User Account

All Pages