Present value of multiple annuities

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Reference no: EM131012345

Present Value of Multiple Annuities A small business owner visits his bank to ask for a loan. The owner states that he can repay a loan at $1,100 per month for the next three years and then $2,100 per month for the two years after that. If the bank is charging customers 6.75 percent APR, how much would it be willing to lend the business owner?

rev: 02_02_2012, 12_17_2015_QC_CS-33412

$6,885

$106,689

$102,000

$74,182

Reference no: EM131012345

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