Question: Example 1 1 : Your company has a $ 1 0 0 , 0 0 0 loan for a new security system it just bought.

Example 11: Your company has a $100,000 loan for a new security system it just bought. Theannual payment is $8,880 and the interest rate is 8% per year for 30 years. Your company decidesthat it can afford to pay $10,000 per year. After how many payments (years) will the loan be paidoff?What is the amount of saving when the loan is paid in 21 years instead of 30?

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