If you borrow $8,292 and are required to pay back the loan in five equal annual installments of $2,300, what is the interest rate associated with the loan? Use Appendix D or a financial calculator to solve this problem. (Round your answer to the nearest whole percent.) Interest rate % Appendix D Present value of an annuity of $1, PVIFA PVA = A 1- 1 (1+1% Percent 1% 2% 4% 6% 8% 9% 10% 11% 12% Period 1. 2 0.990 0.980 0.917 3% 0.971 1.913 2.829 0.962 1.886 2.775 0.943 1.833 5% 0.952 1.859 2.723 3.546 1.942 1.970 2.941 0.926 1.783 2.577 0.901 1.713 0.893 1.690 0.909 1.736 2.487 1.759 2.531 3 2.444 2.402 4 3.902 2.884 3.808 4.713 3.717 2.673 3.465 4.212 3.630 4.452 3.037 3.240 3.890 3.170 3.791 5 4.853 4.580 4.329 3.605 6 5.795 6.728 7.652 5.076 5.786 6.463 3.312 3.993 4.623 5.206 5.747 4.355 4.868 3.102 3.696 4.231 4.712 5.146 7 7% 0.935 1.808 2.624 3.387 4.100 4.767 5.389 5.971 6.515 7.024 7.499 7.943 8.358 4.111 4.564 8 5.601 6.472 7.325 8.162 8.983 9.787 10.575 9 5.417 6.230 7.020 7.786 8.530 9.253 9.954 5.242 6.002 6.733 7.435 8.111 8.760 9.385 9.986 4.917 5.582 6.210 6.802 7.360 7.887 8.384 7.108 7.722 4.486 5.033 5.535 5.995 6.418 6.805 7.161 7.487 5.537 5.889 6.247 6.710 7.139 7.536 10 5.335 5.759 6.145 6.495 6.814 7.103 4.968 5.328 5.650 5.938 6.194 11 8.306 8.863 9.394 6.207 6.492 12 13 11.348 10.635 8.853 7.904 6.750 6.424 14 10.563 -.. 11.296 11.938 12.561 9.899 10.380 10.838 8.244 8.559 9.295 9.712 10.106 7.786 8.061 15 6.982 7.191 6.628 6.811 11.118 11.652 16 8.313 7.379 6.974 8.566 9.471 10.368 11.255 12.134 13.004 13.865 14.718 15.562 16.398 17.226 18.046 22.023 25.808 32.835 39.196 17 12.106 12.849 13.578 14.292 14.992 15.678 16.351 11.274 8.745 9.108 9.447 9.763 10.059 10.336 10.594 8.851 9.122 9.372 9.604 18 8.544 8.756 8.950 11.690 12.085 12.462 12.166 12.659 13.134 13.590 15.622 17.292 7.549 7.702 7.839 19 20 25 30 40 ............... 13.166 13.754 14.324 14.877 17.413 19.600 23.115 25.730 7.367 7.606 7.824 8.022 8.201 8.365 8.514 9.077 9.427 9.779 9.915 10.477 10.828 11.158 11.470 12.783 13.765 15.046 15.762 9.818 10.675 7.963 8.422 7.120 7.250 7.366 7.469 7.843 8.055 8.244 8.304 14.094 11.654 12.409 11.258 19.523 22.396 27.355 31.424 9.129 9.823 10.274 10.757 10.962 15.372 17.159 19.793 13.332 11.925 12.233 8.694 8.951 9.042 50 50 ......... 21.482 18.256 13.801 Appendix D (concluded) Present value of an annuity of $1 Percent 19% 15% 16% 18% 40% 50% Period 1 2 0.840 25% 0.800 1.440 30% 0.769 1.361 0.870 1.626 35% 0.741 1.289 0.714 0.667 1.547 1.224 1.111 13% 0.885 1.668 2.361 2.974 3.517 3 2.140 1.816 1.589 1.407 14% 0.877 1.647 2.322 2.914 3.433 3.889 4.288 4 1.849 0.862 1.605 2.246 2.798 3.274 3.685 4.039 4.344 4.607 0.847 1.566 2.174 2.690 3.127 3.498 3.812 4.078 2.283 2.855 3.352 3.784 4.160 4.487 2.166 2.436 20% 0.833 1.528 2.106 2.589 2.991 3.326 3.605 3.837 4.031 1.605 1.737 5 6 3.998 2.639 3.058 3.410 3.706 3.954 1.952 2.362 2.689 2.951 3.161 3.329 3.463 2.643 2.802 7 17% 0.855 1.585 2.210 2.743 3.199 3.589 3.922 4.207 4.451 4.659 4.836 4.988 5.118 5.229 5.324 5.405 4.423 8 4.799 1.824 1.883 1.922 1.948 2.925 1.696 1.997 2.220 2.385 2.508 2.598 2.665 2.715 2.752 2.779 2.799 2.814 2.035 2.168 2.263 2.331 2.379 2.414 2.438 2.456 9 4.772 4.639 4.946 5.216 5.453 4.303 3.019 10 5.132 5.426 5.687 5.918 3.571 3.092 4.163 4.339 4.486 5.019 5.234 5.421 4.494 4.656 11 4.192 4.327 4.439 4.833 5.029 5.197 5.342 5.468 3.656 3.725 3.147 3.190 12 4.611 5.660 5.842 6.002 13 1.965 1.977 1.985 1.990 1.993 6.122 6.302 4.793 4.910 5.008 5.583 5.724 4.533 4.611 3.780 3.824 3.223 3.249 2.469 2.478 14 4.715 4.802 4.876 4.938 15 5.575 5.092 4.675 1.995 6.142 6.265 3.859 3.887 5.847 5.954 6.047 3.268 3.283 2.825 2.834 16 5.668 5.162 4.730 6.462 6.604 6.729 6.840 1.997 2.484 2.489 2.492 2.494 17 5.749 5.222 4.988 4.775 3.910 3.295 2.840 1.998 18 6.128 5.033 3.928 1.999 6.373 6.467 6.550 6.623 6.873 5.475 5.534 5.584 5.628 19 20 6.938 7.025 5.818 5.877 5.929 6.198 6.259 6.464 1.999 5.273 5.316 5.353 5.467 4.812 4.843 4.870 5.070 5.101 3.942 3.954 3.304 3.311 3.316 3.329 2.844 2.848 2.850 2.496 2.497 25 6.097 5.195 2.856 2.499 7.330 7.496 5.766 5.829 4.948 4.979 3.985 3.995 1.999 2.000 2.000 30 6.566 6.177 5.517 5.235 3.332 2.857 2.500 40 7.634 7.003 7.105 7.133 5.871 2.857 2.500 6.642 6.661 6.233 6.246 5.548 5.554 5.258 5.262 4.997 4.999 3.999 4.000 3.333 3.333 2.000 2.000 50 7.675 5.880 2.857 2.500