dess you need to edit, it's sale to stay TVM - FUTURE VALUE CONCEPT 1. Mr Tan borrowed $500,000 from DBS Bank for a period of 7 years repayable at the end of the 7 year period. The bank charges 4% per annum, compounded annually. a) Calculate the total amount that Mr Tan has to pay DBS Bank at the end of the 7 year period. b) Mr Tan decided to shorten the payment period to just 3 years. How much must Mr Tan pay the bank at the end of the 3 year period, assuming the same interest rate? c) Comment on your answers from a) and b)