A small business repairs its store. The builders charge them $130,000 which will be paid back in monthly installments over three years at 6.80% APR. The builders will reduce this rate to 6.30% APR if they pay $2600 up front. By approximately how much will this reduce the monthly loan repayments?

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A) The first step is to calculate the monthly payment using a present value (PV) of $130,000 monthly interest rate of 11ea84dc_f572_e2ef_9a63_7532176eef4f_TB1316_11_TB1316_11 and 36 periods, 11ea84dc_f572_e2f0_9a63_357fd89cd355_TB1316_11_TB1316_11 the second step is to use that monthly payment using a monthly interest rate of 11ea84dc_f572_e2f1_9a63_3d2ded7bbfc6_TB1316_11_TB1316_11 and a PV of 11ea84dc_f572_e2f2_9a63_072ee358a54e_TB1316_11_TB1316_11 to calculate the 11ea84dc_f573_0a03_9a63_db4223944bd0_TB1316_11_TB1316_11 The difference of the 11ea84dc_f573_0a04_9a63_3fe3f2654505_TB1316_11_TB1316_11

A Small Business Repairs Its Store