Answer:
In Four years i will be paying $16,585.
Explanation:
In this question apply the time value of money techniques.The amount to be paid after 4 years is known as the Future Value and is determined by setting the parameters as follows:
Pv = $12,700
i = 6.9%
Pmnt = $0
N = 4
Fv = ?
Using a Financial Calculator, the Fv (Future Value) will be $16,585
Conclusion :
In Four years i will be paying $16,585.
