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Question
Suppose you borrowed $12,000 at a rate of 9.0% and must repay it in 4 equal installments at the end of each of the next 4 years. How large would your payments be?a. $3,704.02
b. $3,889.23
c. $4,083.69
d. $4,287.87
e. $4,502.26
Answer
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Which of the following is not correct for a firm with seasonal sales and customers who all pay promptly at the end of 30 days?
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d. The level of accounts receivable at the end of each quarter will be the same.
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b. False