Problem 1 - Amortizing a Loan Jason takes out a loan L of 3000 dollars to buy a car at an annual effective rate of interest of 6%. He repays the loan by making annual payments at the end of each year for 10 years. a) The amount of Jason's annual payment is R=______ b) The amount of interest Jason paid in the 1st payment is I1=iL_________ c) The amount of principal repaid in the 1st payment is P1=RI1_______ d) The outstanding loan balance at the end of the 1st year just after the 1st payment is paid is B1=LP1=___________

e) The amount of interest Jason paid in the 2nd payment is I2=iB1__________ f) The amount of principal repaid in the 2nd payment is P2=RI2=_________

g) The outstanding loan balance at the end of the 2nd year just after the 2nd payment is paid is B2=B1P2=