Problema Solution
How long should P 1, 075, 500 be discounted to have a proceeds of P 1, 000, 000 at 6 2/9% simple discount rate?
Answer provided by our tutors
1,075,500 - 1,000,000 = 75,500
6 2/9% = 6.22%
75500 = 1075500*0.0622*t
t = 1.1286
approximately 1.13 years