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Introduction to Finance: FV and annual payment amount

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1. Determine the future values if $5,000 is invested in each of the following situations:

A. 5 percent for ten years.
Future value=$5,000 x (+ 5

2. Determine the annual payment in a 415,000, 12 percent business loan from a commercial bank is to be amortized over a five-year period.

PVA= PMT(PVIFA 10%4)
$415,000= PMT (3.605)

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This solution is comprised of a detailed explanation to determine the future values if $5,000 is invested and the annual payment in a 415,000, 12 percent business loan from a commercial bank is to be amortized over a five-year period.

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1. Determine the future values if $5,000 is invested in each of the following situations:

A. 5 percent for ten ...

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