A firm can buy a piece of equipment for 200000 paid


Question: A firm can buy a piece of equipment for $200,000 paid immediately, or in three installments: $70,000 paid now, $70,000 in one year, and $70,000 in two years time. Which option is better if money can be invested at a nominal rate of 6% compounded monthly? The response must be typed, single spaced, must be in times new roman font (size 12) and must follow the APA format.

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Finance Basics: A firm can buy a piece of equipment for 200000 paid
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