You lend a friend

$10,000,

for which your friend will repay you

$27,027

at the end of

5

years. What interest rate are you charging your "friend"?

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Part 1

The interest rate you are charging your friend on the loan is

enter your response here%.

(Round to the nearest whole percent.)

If you are offered

$320,000

in

13

years and you can earn

11

percent on your money, what is the present value of

$320,000?

$enter your response here

(Round to the nearest cent.)