Question: . (1.) What would the required payment be on a $1,000 loan that is to be repaid in three equal installments at the end of

. (1.) What would the required payment be on a $1,000 loan that is to be repaid in three equal installments at the end of each of the next three years if the interest rate is 10%?

Construct an amortization table for the loan described above.

(2.) What is the annual interest expense for the borrower, and the annual interest income for the lender, during Year 2?

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