For each of the loan amounts, interest rates, loan terms, and annual payments shown in the following
Question:
For each of the loan amounts, interest rates, loan terms, and annual payments shown in the following table, calculate the annual interest paid each year over the term of the loan, assuming that the payments are made at the end of each year.
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Loan Interest Rate Terin Annual Pavinent S 6,038 7,448 39,207 36,421 59,255 Amount 8% S 20,000 35,500 152,500 250,000 575,500 years 6 7.5 15
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a Year 1 2 3 4 Principal 20000 15562 10769 5592 Interest 1600 1245 862 447 Payment 6038 6038 6038 60...View the full answer
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Related Book For
Introduction to Corporate Finance
ISBN: 978-0324657937
2nd edition
Authors: Scott B. Smart, William L Megginson
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