Murray Company borrows $340,000 cash from a bank and in return signs an installment note for five

Question:

Murray Company borrows $340,000 cash from a bank and in return signs an installment note for five annual payments of equal amount, with the first payment due one year after the note is signed. Use Table B.3 in Appendix B to compute the amount of the annual payment for each of the following annual market rates:

(a) 4%,

(b) 8%,