2. Mrs. X has just purchased a new car for 1M. She makes a down payment of 30% of the negotiated price and then makes payments of P15,000 per month thereafter for 60 months. Furthermore, she believes the car can be sold for P750,000 at the end of 3 years. Draw a cash flow diagram of this situation from Mrs. X's point of view.

2. Mrs. X has just purchased a new car for 1M. She makes a down payment of 30% of the negotiated price and then makes payments of P15,000 per month thereafter for 60 months. Furthermore, she believes the car can be sold for P750,000 at the end of 3 years. Draw a cash flow diagram of this situation from Mrs. X's point of view.

Essentials of Economics (MindTap Course List)

8th Edition

ISBN:9781337091992

Author:N. Gregory Mankiw

Publisher:N. Gregory Mankiw

Chapter19: The Basic Tools Of Finance

Section: Chapter Questions

Problem 1CQQ

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