Problem $5-15$ Present Value of Multiple Annuities $($LG$5-4)$

A small business owner visits her bank to ask for a loan. The owner states that she can repay a loan at $$1,500$ per month for the next

three years and then $$3,000$ per month for two years after that. If the bank is charging customers $8\mathrm{.}75$ percent APR, how much would

it be willing to lend the business owner?

Note: Do not round intermediate calculations and round your final answer to $2$ decimal places.

Answer is complete but not entirely correct.

Present

value

$80,070\mathrm{.}07$