A loan of 50,000 is being repaid with semiannual payments for 10 years at 13% convertible semiannually.

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A loan of 50,000 is being repaid with semiannual payments for 10 years at 13% convertible semiannually. The first payment is due six months after the loan is taken out.

(a) Find the outstanding loan balance at the end of the sixth year.

(b) Divide the 13^^ payment into principal and interest.

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