Juliette's small business has grown faster andbeen more profitable than she expected. Aninvestor in her business is due to be paid$3,200 on December 31. How much shouldthat investor be willing to accept as an earlypayment on March 15 of the same calendaryear if money is worth 6.15%?The investor should accept?

Investor's money is due on December 31. However Juliette is willing to make an early payment on…

Answered: The investor should accept?

Business

Accounting

The investor should accept?

FINANCIAL ACCOUNTING

10th Edition

ISBN:9781259964947

Author:Libby

Publisher:Libby

Chapter1: Financial Statements And Business Decisions

Section: Chapter Questions

Problem 1Q

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Question

Juliette's small business has grown faster and
been more profitable than she expected. An
investor in her business is due to be paid
$3,200 on December 31. How much should
that investor be willing to accept as an early
payment on March 15 of the same calendar
year if money is worth 6.15%?
The investor should accept?

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