Boweil Industries is purchasing a new piece of equipment for its manufacturing facilities.The list price of the equipment is $75,000,but the dealer is willing to finance the equipment at 0% interest for 30 months.The financing agreement calls for 30 monthly installment payments of $2,500 each.Boweil's normal cost of borrowing for this type of financing arrangement is 12% annually.What value should Boweil assign to the equipment and the note if the deal is accepted?

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The Answer of Boweil Industries is purchasing a new piece of equipment for its manufacturing facilities.The list price of the equipment is $75,000,but the dealer is willing to finance the equipment at 0% interest for 30 months.The financing agreement calls for 30 monthly installment payments of $2,500 each.Boweil's normal cost of borrowing for this type of financing arrangement is 12% annually.What value should Boweil assign to the equipment and the note if the deal is accepted?

Boweil Industries Is Purchasing a New Piece of Equipment for Its