1. You will receive 27 annual payments of $22,500. The first payment will be received 7 years from today and the interest rate is 5.1 percent. What is the value of the payments today?
$228,447.53
$359,870.96
$249,948.47
$230,148.07
$241,885.62
2. You want to purchase a new motorcycle that costs $30,600. The most you can pay each month is $630 over the life of the 60-month loan. What is the highest APR that you could afford?
7.98%
9.88%
8.65%
8.90%
7.48%