13. A businessman borrowed P750,000 with interest at a rate of 7% compounded semi-annually. He agrees to discharge his obligation by paying a series of 6 equal semi-annualpayments, the first being due at the end of 6 ½ years. Find the semi-annual payment?

Present Value The present value is the value of cash flow stream or the fixed lump sum amount at…

Answered: 13. A businessman borrowed P750,000…

Essentials Of Investments

11th Edition

ISBN:9781260013924

Author:Bodie, Zvi, Kane, Alex, MARCUS, Alan J.

Publisher:Bodie, Zvi, Kane, Alex, MARCUS, Alan J.

Chapter1: Investments: Background And Issues

Section: Chapter Questions

Problem 1PS

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13. A businessman borrowed P750,000 with interest at a rate of 7% compounded semi- annually. He agrees to discharge his obligation by paying a series of 6 equal semi-annual payments, the first being due at the end of 6 ½ years. Find the semi-annual payment?