Question: Please show all work and do not use excel, thanks! 10. A 10 year loan of $2000 is repaid with payments the end of each

Please show all work and do not use excel, thanks!

10. A 10 year loan of $2000 is repaid with payments the end of each year. There are 2 options: (a) Equal annual payments at an annual effective rate of 8.07%; (b) Repayments of the principal of $200 each year plus interest on the outstanding balance at an effective rate of i%. The sum of all payments under each option is the same. What is i? 10. A 10 year loan of $2000 is repaid with payments the end of each year. There are 2 options: (a) Equal annual payments at an annual effective rate of 8.07%; (b) Repayments of the principal of $200 each year plus interest on the outstanding balance at an effective rate of i%. The sum of all payments under each option is the same. What is

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