You can afford to make $100 monthly payments for three years, and you want to know how much you can borrow based on this payment amount. Which type of time value of money calculation should be used to solve this problem?
A) Present value of a lump sum
B) Future value of a lump sum
C) Present value of an annuity
D) Future value of an annuity
Correct Answer:
Verified
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A) future value.
B)
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