Calculator Problem – 09/24/2012

Assume you can make 8% on your money.  If you make an offer on a property that is structured with $50,000 down and $25,000 paid in eight years and another $25,000 in fifteen years, what is the equivalent cash offer today?

(The answer will be posted with the new calculator problem in 2 weeks. Or if you can’t wait that long, you can go to http://www.facebook.com/pages/Gary-Johnston-Seminars/111368472221424 for the answer.)

Answer to 09/10/2012 problem:

(N=360,I=4,PMT= -480,FV=0) PV= $100,541.40