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how do i plug in 29,991.12xPV0.6667%,5 in my financial calculator BA II Plus Mr. Bond agrees to repay a loan by paying $600 at the

image text in transcribed how do i plug in 29,991.12xPV0.6667%,5 in my financial calculator BA II Plus

Mr. Bond agrees to repay a loan by paying $600 at the end of EACH month for 5 years. The first payment is due at the end of the 6th month from today and the last payment will be at the end of five and a half years (66 months). If the interest rate is 8% compounded monthly, find the amount of the loan today. Choose the closest alternative. 6. $26,591 $27,115 $27,524 $29,011* $29,911 600 600 ----------------------> 600 Solution: -------------------------------- 0 5 6 7 66 Months Effective monthly rate = 8%/12 = 0.6667%; PV5 = 600PVA0.6667%,61 = $29,991.12 PVo = $29,991.12xPV0.6667%, 5 = $29,011.10

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