Asked by Irene Godinez on Jul 15, 2024
Verified
What is meant by "equivalent payments"?
Equivalent Payments
Equivalent payments refer to a series of regular payments that have the same value under specified conditions, often used in the context of loans or mortgages.
- Ascertain similar payments and grasp the concept of time value of money in financial deliberations.
Verified Answer
GE
Great EscapeJul 16, 2024
Final Answer :
"Equivalent payments" are alternative payments (on different dates) that will put the recipient in the same economic position.
Learning Objectives
- Ascertain similar payments and grasp the concept of time value of money in financial deliberations.