Assume you bought a car using a loan that requires payments of $3,000 to be made at

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Assume you bought a car using a loan that requires payments of $3,000 to be made at the end of every year for the next three years. The loan agreement indicates the annual interest rate is 6 percent. Which table in this appendix would you use to calculate the car’s equivalent cost if you were to pay for it in full today?

a. Table C.1 (Future Value of $1)
b. Table C.2 (Present Value of $1)
c. Table C.3 (Future Value of Annuity of $1)
d. Table C.4 (Present Value of Annuity of $1)




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Fundamentals Of Financial Accounting

ISBN: 9781265440169

7th Edition

Authors: Fred Phillips, Shana Clor Proell, Robert Libby, Patricia Libby

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