Question

A housewife asks her husband to buy a refrigerator of PANDA store, which has a value...

A housewife asks her husband to buy a refrigerator of PANDA store, which has a value of $ 7,000 pesos. The store offers 104 weekly payments at a weekly interest rate of 0.05%, this is 0.0005. What is the value of the annuity that her husband has to issue if the option of fixed payments is chosen, instead of cash payment?

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Answer #1

Answer : Weekly payment annuity of $70.90 has to be issued by the husband in case of fixed payments.

Solution, calculation and formula is provided in the following attached image file:

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