Question: Cal Lury owes $ 3 6 , 0 0 0 now. A lender will carry the debt for five more years at 6 percent interest.

Cal Lury owes $36,000 now. A lender will carry the debt for five more years at 6 percent interest. That is, in this particular case, the amount owed will go up by 6 percent per year for five years. The lender then will require that Cal pay off the loan over the next 13 years at 9 percent interest.
What will his annual payment be?

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