A company's accounts receivable department has discovered a pattern of fraudulent activities by an employee. The employee manipulated the accounts receivable records to make it appear as if certain accounts were paid in full when they were not. The employee was caught and has admitted to creating fraudulent credits of $500 each to these accounts. The company's auditor has found a total of 40 fraudulent credits. The auditor has also discovered that the employee had created these fraudulent credits over a period of 5 months. Assuming an annual interest rate of 6%, how much did the company lose due to the fraudulent activities of the employee?

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