A firm borrows $255,000 from a bank and agrees to pay back the bank over 4 years at 12%. What are thetotal finance charages? Group of answer choices $25,384.22 $67, 326.15 $22, 924.66 $13, 872.19 $650.00 $20,879.60 $183, 487.11 $6.87 $1,892, 660.66 $1,988, 374.34 $1,765, 147.96

Loan installment is that which is paid by borrower to lender for a specified period of time. This…

Answered: A firm borrows $255,000 from a bank and…

EBK CONTEMPORARY FINANCIAL MANAGEMENT

14th Edition

ISBN:9781337514835

Author:MOYER

Publisher:MOYER

Chapter16: Working Capital Policy And Short-term Financing

Section: Chapter Questions

Problem 14P

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A firm borrows $255,000 from a bank and agrees to pay back the bank over 4 years at 12 %. What are the total finance charages? Group of answer choices $25,384.22 $67, 326.15 $22, 924.66 $13,872.19 $650.00 $ 20,879.60 $183, 487.11 $6.87 $1,892, 660.66 $1,988, 374.34 $1, 765, 147.96