Question: Suppose an engineering student borrows $25,000 at a 3% interest rate compounded annually. You plan on repaying the loan in 5 equal annual payments. (a)How

Suppose an engineering student borrows $25,000 at a 3% interest rate compounded annually. You plan on repaying the loan in 5 equal annual payments.

(a)How much will the annual payment be?

(b)How much of your first payment will go toward principal?

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