document.write( "Question 1081025: Jeremy Fenloch borrowed some money from his friend and promised to repay him the amounts of $1,255, $1,365, $1,525, $1,560, and $1,585 over the next five years. If the friend normally discounts investments cash flows at 8.50 percent annually, how much did Jeremy borrow? (Round answer to 2 decimal places, e.g. 15.25.)
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Algebra.Com's Answer #695170 by Theo(13342)\"\" \"About 
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he pays back the following sums of money at the end of each year.\r
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\n" ); document.write( "\n" ); document.write( "year 1 = 1255
\n" ); document.write( "year 2 = 1365
\n" ); document.write( "year 3 = 1525
\n" ); document.write( "year 4 = 1560
\n" ); document.write( "year 5 = 1585.\r
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\n" ); document.write( "\n" ); document.write( "you want to get the present value of all these cash flows at 8.5% per year.\r
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\n" ); document.write( "\n" ); document.write( "that present value will be equal to:\r
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\n" ); document.write( "\n" ); document.write( "1255 / 1.085^1 + 1365 / 1.085^2 + 1525 / 1.085^3 + 1560 / 1.085^4 + 1585 / 1.085^5\r
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\n" ); document.write( "\n" ); document.write( "the result of that is equal to $5689.88\r
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\n" ); document.write( "\n" ); document.write( "that's how much jeremy borrowed.\r
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