Question: On January 1 , a borrower signed a long - term note, face amount $ 5 5 , 0 0 0 , with time to

On January 1, a borrower signed a long-term note, face amount $55,000, with time to maturity of 6 years. The interest rate is 7%, and equal annual installment payments will pay off the loan after six years.
a. How much is each annual installment payment?
b. Record the first installment payment on December 31.

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