Question: On 1/1/A, borrow $8k to be repaid in 5 equal annual installments on 12/31. a. How much is each installment if i = 10%? b.

On 1/1/A, borrow $8k to be repaid in 5 equal annual installments on 12/31.

a. How much is each installment if i = 10%?

b. Interest expense in 2nd year?

explanation appreciated

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