The five-year sales quote includes quarterly payments of $37,200 at a 7.6% interest rate. The price of the acquisition is $614,184.40.
<h3>Do you mean by PMT payment?</h3>
PMT stands for "payment," therefore the name of the function. A PMT method can estimate your monthly payments, for instance, if you are looking for a $30,000 car loan with a two-year term and an annual interest rate of 7%.
<h3>In the fv formula, what is PMT?</h3>
PV = present value, and FV=PMT(1+i)((1+i)N - 1)/i Future Value (FV) Payment per period (PMT) I = percent per period interest rate N is the number of cycles.
Quarterly Payment = PMT = $37,400
Interest Rates = r = 7.6% per year = 0.076 per year = 0.076 / 4 = 0.019 per quarter
Number of years = 5 years
Number of Payment = n = 5 years x 4 quarters per year = 20 quarters
PV = PMT x (1 - [1 / (1 +r)^n]) / r
PV = $37,200 x (1 - [1 / (1 +0.019)^20]) / 0.019
PV = $614,184.40
Learn more about PMT: brainly.com/question/12890163
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