Question: A borrows $ 2 1 0 0 0 for 1 2 years and repays the loan with level annual payments at the end of each

A
borrows $21000 for 12 years and repays the loan with level annual payments at the end of each year. B
also borrows $21000 for 12 years. but pays only interest as it is due each year and plans to repay the entire loan at the end of the 12-year period. Both Loans carry an effective interest rate of 8.5%. How much more interest will B
pay than A
pays over the life of the loan?
Note: Please round A
's yearly payment to the nearest cent first, then use it to calculate the interest paid by A
.

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