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Computing Annuity Payment: John Harper Has Borrowed $17,400 to Pay

Question 79

Multiple Choice

Computing annuity payment: John Harper has borrowed $17,400 to pay for his new truck. The annual interest rate on the loan is 9.4 per cent, and the loan needs to be repaid in four years. What will be his annual payment if he begins his payment beginning now? (Round to the nearest dollar.)


A) $5,229
B) $5,450
C) $4,850
D) $4,953

Correct Answer:

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