Question: Please solve this precisely A loan is to be repaid by a series of instalments payable annually in arrear for 15 years. The first instalment

Please solve this precisely

A loan is to be repaid by a series of instalments payable annually in arrear for 15 years. The first instalment is fl ,200 and payments increase thereafter by $250 per annum. Repayments are calculated using a rate of interest of 6% per annum effective. Determine: the amount of the loan. (3] the capital outstanding immediately after the 9th instalment has been made. [2] (iii) the capital and interest components of the final instalment. [2] [Total 7] The force of interest, 8(/), is a function of time and at any time /, measured in years, is given by the formula: 0.06 OSIS4 8(1) =1 0.10-0.01 4

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