A company borrowed cash from the bank by signing a 5-year, 6% installment note. The present value for an annuity (series of payments) at 6% for 5 years is 4.2124. The present value of 1 (single sum) at 6% for 5 years is .7473. Each annual payment equals $76,500. The present value of the note is:

Multiple Choice

• $102,368.53.

• $382,500.00

• $18,160.67.

• $322,248.60.

• $54,482.01.