MC Qu. 89 A company borrowed...

A company borrowed $41,200 cash from the bank and signed a 5-year note at 9% annual interest. The present value of an annuity factor for 5 years at 9% is 3.8897. The present value of a single sum factor for 5 years at 9% is .6499. The annual annuity payments equal:

Multiple Choice:

$26,775.88.

$10,592.08.

$41,200.00.

$63,394.37.

$160,255.64.