Busıness Fınance I Deneme Sınavı Sorusu #1270507

You would like to buy a car to finance some portion of the purchase price of the car with a car loan. You will be paying the loan in equal monthly installments for a specific period of time with a certain interest rate. You set a certain amount of payment for each month according to your monthly budget and ask the bank how much money you can borrow today. In this case,  the account officer in the bank should compute ...............


the future value of the annuity

the present value of the annuity

the payment of the annuity

the future value of the loan 

the interest payments of the loan 


Yanıt Açıklaması:

The money that can be borrowed today by paying the loan in equal installments referes to the present value of an annuity.

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