Question: Reberto borrows $ 10,000 and repays the loan with 3 equal annual payments, the interest rate of the first year is 4% compounded annually: for

Reberto borrows $ 10,000 and repays the loan with 3 equal annual payments, the interest rate of the first year is 4% compounded annually: for the second year of the loan the interest rate is 5% compounded annually; for the third year of the loan the interest rate is 6% compounded annually

a. Determine the size of the equal annual payments

b. Compare the result from (a) with that which results from interchanging the interest rates for the first and third years

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