Pv of the loan if the interest rate

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Assume a bank loan requires an interest payment of $85 per year and a principal payment of $1,000 at the end of the loan's eight-year life. 

  • What would be the PV of the loan if the interest rate is 8 percent on similar quality loans?

Reference no: EM131160939

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Pv of the loan if the interest rate : Assume a bank loan requires an interest payment of $85 per year and a principal payment of $1,000 at the end of the loan's eight-year life. What would be the PV of the loan if the interest rate is 8 percent on similar quality loans?
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