Question: Problem 5.07 (Present and Future Values of a Cash Flow Stream) An investment will pay $150 at the end of each of the next 3

Problem 5.07 (Present and Future Values of a Cash Flow Stream)

Problem 5.07 (Present and Future Values of a Cash Flow Stream) An investment will pay $150 at the end of each of the next 3 years, $250 at the end of Year 4, $350 at the end of Year 5, and $500 at the end of Year 6. If other investments of equal risk earn 8% annually, what is itspresent value? Its ture value? Do not round intermediate calcu ations. Round your answers to the nearest cent. Present value : Future value: $ 8. Problem 5.08 (Loan Amortization and EAR) You want to buy a car, and a local bank will lend you $25,000. The loan will be fully amortized over 5 years (60 months), and the nominal interest rate will be 11% with interest paid monthly, what will be the monthly loan payment? What will be the loan's EAR? Do not round intermediate calculations. Round your answer for the monthly loan payment to the nearest cent and for EAR to two decimal places. Monthly loan payment: $ EAR

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