### How much would be willing to lend the business owner

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Question: Present Value of Multiple Annuities A small business owner visits his bank to ask for a loan. The owner states that he can repay a loan at \$1,800 per month for the next three years and then \$2,800 per month for the two years after that. If the bank is charging customers 7.25 percent APR, how much would it be willing to lend the business owner?

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