Explain how you would compute the required annual payment, Auditing

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Explain how you would compute the required annual payment

Problem

Assume that you borrowed $500 from a friend and promised to repay the loan in five equal annual investments beginning one year from today. Your friend wants to be reimbursed for the time value of money at aa 8% annual rate. Explain how you would compute the required annual payment.

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Auditing: Explain how you would compute the required annual payment

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Auditing: Explain how you would compute the required annual payment

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