Wasup Corp. is thinking of borrowing $190,000 from its bank at 8% annual interest rate. The amount that will be repaid is $325,626. Assume annual compounding. In approximately how many years will Wasup Corp. need to repay the loan? Use the future value of $1 factor table shown below.Excerpt of Future Value of $1 Table Periods 7% 8% 9% 1 1.07000 1.08000 1.09000 2 1.14490 1.16640 1.18810 3 1.22504 1.25971 1.29503 4 1.31080 1.36049 1.41158 5 1.40255 1.46933 1.53862 6 1.50073 1.58687 1.67710 7 1.60578 1.71382 1.82804 Group of answer choices 7 years 4 years 6 years 5 years
Wasup Corp. is thinking of borrowing $190,000 from its bank at 8% annual interest rate. The amount that will be repaid is $325,626. Assume annual compounding. In approximately how many years will Wasup Corp. need to repay the loan? Use the future value of $1 factor table shown below.Excerpt of Future Value of $1 Table Periods 7% 8% 9% 1 1.07000 1.08000 1.09000 2 1.14490 1.16640 1.18810 3 1.22504 1.25971 1.29503 4 1.31080 1.36049 1.41158 5 1.40255 1.46933 1.53862 6 1.50073 1.58687 1.67710 7 1.60578 1.71382 1.82804 Group of answer choices 7 years 4 years 6 years 5 years
Chapter1: Financial Statements And Business Decisions
Section: Chapter Questions
Problem 1Q
Related questions
Question
Wasup Corp. is thinking of borrowing $190,000 from its bank at 8% annual interest rate. The amount that will be repaid is $325,626. Assume annual compounding. In approximately how many years will Wasup Corp. need to repay the loan? Use the future value of $1 factor table shown below.
Excerpt of Future Value of $1 Table
Excerpt of Future Value of $1 Table
| Periods | 7% | 8% | 9% |
| 1 | 1.07000 | 1.08000 | 1.09000 |
| 2 | 1.14490 | 1.16640 | 1.18810 |
| 3 | 1.22504 | 1.25971 | 1.29503 |
| 4 | 1.31080 | 1.36049 | 1.41158 |
| 5 | 1.40255 | 1.46933 | 1.53862 |
| 6 | 1.50073 | 1.58687 | 1.67710 |
| 7 | 1.60578 | 1.71382 | 1.82804 |
Group of answer choices
7 years
4 years
6 years
5 years
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