Determine the price paid for a land, Mathematics

Assignment Help:

A parcel of land, value $250,000 is sold to an investor who signs a contract agreeing to pay a deposit of $25,000 followed by equal quarterly payments for as long as necessary, with the first repayment being 2 years from the sale date and the final smaller repayment being one quarter after the last full payment. Interest on the outstanding money is charged at 12%pa compounded quarterly from the purchase date and the payment size is $15,000.

Exactly 3 years after the contract was signed, the purchaser [i.e. the investor] is up to date with the payments and the vendor sells the contract to a third party who wishes to earn 16%pa compounded quarterly on the investment. Determine the price paid.


Related Discussions:- Determine the price paid for a land

Percentage, A person spent 12.5% of his money and then rs.1600 and then 40%...

A person spent 12.5% of his money and then rs.1600 and then 40% of the remaining,now left rs.960 with him.What is his original money?

Fermats last theorem, Explain Fermats Last Theorem? How to solve problems u...

Explain Fermats Last Theorem? How to solve problems under Fermats Last Theorem?

Example of addition of signed numbers, Example of addition of Signed Number...

Example of addition of Signed Numbers: Example: (-2) + 3 + 4 = 0 - 2 + 3 + 4 Solution: Thus: (-2) + 3 + 4 = 5  Example: 10 + (-5) + 8 + (-7)

Find the discount factors and linear interpolation, Question: All rates...

Question: All rates should be calculated to 3 decimal places in % (e.g. 1.234%), the discount factors to 5 decimal places (e.g. 0.98765), and the bond prices to 3 decimal place

Differential equation, Question: In the interest of saving up enough mo...

Question: In the interest of saving up enough money for retirement, you have created a bank account to store a  sum of money. Compound interest on  this account is accumulated

Draw the graph for finite state machine, Consider the finite state machine ...

Consider the finite state machine whose state transition table is : Draw the graph for it.  Ans: The graph for the automata according to the transition table is drawn b

Compute the probability of event, 1) Let the Sample Space S = {1, 2, 3, 4, ...

1) Let the Sample Space S = {1, 2, 3, 4, 5, 6, 7, 8}. Suppose each outcome is equally likely. Compute the probability of event E = "an even number is selected". P(E) = 2) A s

Estimate the slope of a line?, Estimate the Slope of a Line? The slope o...

Estimate the Slope of a Line? The slope of a line is a measure of how steep it is. It is defined as y 2 - y 1 /x 2 -x 1 Where (x 1 , y 1 ) and (x 2 , y 2 ) are any two p

Explain english system in details, Explain English System in details? T...

Explain English System in details? There are three types of measurements that can be taken using the English System: length, distance, weight, and capacity. Length and dista

Write Your Message!

Captcha
Free Assignment Quote

Assured A++ Grade

Get guaranteed satisfaction & time on delivery in every assignment order you paid with us! We ensure premium quality solution document along with free turntin report!

All rights reserved! Copyrights ©2019-2020 ExpertsMind IT Educational Pvt Ltd