Day_5_spreadsheets - Int 1 5,200 0 5,200 70,200 2 5,616 0...

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Page 689 Date Asset Flow 0 200,000 1 0 2 0 3 0 4 0 5 ### IRR 8.00%
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Installment note: $50,000 borrowed, 10 annual payments of $6,793, effective interest rate of 6%. 0 50,000 1 3,000 6,793 (3,793) 46,207 2 2,772 6,793 (4,021) 42,186 3 2,531 6,793 (4,262) 37,925 4 2,275 6,793 (4,518) 33,407 5 2,004 6,793 (4,789) 28,619 6 1,717 6,793 (5,076) 23,543 7 1,413 6,793 (5,380) 18,162 8 1,090 6,793 (5,703) 12,459 9 748 6,793 (6,045) 6,413 10 385 6,793 (6,408) 5 Date/Ti me Interes t Expens e Cash Flow Chang e in Carryin g Amoun t Carryin g Amoun t
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Zero coupon note: $65,000 borrowed, $140,330 paidAs maturity, effective interest rate of 8%, En 0 65,000
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Unformatted text preview: Int 1 5,200 0 5,200 70,200 2 5,616 0 5,616 75,816 3 6,065 0 6,065 81,881 En 4 6,551 0 6,551 88,432 Int 5 7,075 0 7,075 95,506 6 7,641 0 7,641 ### 7 8,252 0 8,252 ### En 8 8,912 0 8,912 ### Int 9 9,625 0 9,625 ### 10 10,395 ### ### 0 Date/Tim e Interest Expens e Cash Flow Change in Carryin g Amount Carryin g Amoun t ssume zero coupon note issued on March 1, 2007. ntry 12/31/07 terest expense 4,333 Notes payable 4,333 ntry 2/28/08 terest expense 867 Notes payable 867 ntry 12/31/08 terest expense 4,680 Notes payable 4,680...
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This note was uploaded on 10/14/2009 for the course MGMT 351 taught by Professor Staff during the Spring '08 term at Purdue University-West Lafayette.

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Day_5_spreadsheets - Int 1 5,200 0 5,200 70,200 2 5,616 0...

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