If an alternative has monthly payments of $12,000 a month for three years with a

Question

If an alternative has monthly payments of $12,000 a month for three years with a purchase price of $75,000 at the end of year three, what would the cash flow diagram look like? Select the correct choice from each pair of answers.

If an alternative has monthly payments of $12,000 a month for three years with a purchase price of $75,000 at the end of year three, what would the cash flow diagram look like? Select the correct choice from each pair of answers.    $144,000 EOY 1    $144,000 MOY 1
   $144,000 EOY 2    $144,000 MOY 2
   $144,000 EOY 3    $144,000 MOY 3
   $75,000 EOY 3    $75,000 MOY 3

Explanation / Answer

If an alternative has monthly payments of $12,000 a month for three years with a purchase price of $75,000 at the end of year three, what would the cash flow diagram look like? Select the correct choice from each pair of answers.

$144,000 EOY 1    $144,000 MOY 1

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