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3. To fund the remaining initial cost of constructing the new building for the new Liverpool store, TRS will borrow $500,000 today. TRS will obtain

3. To fund the remaining initial cost of constructing the new building for the new Liverpool store, TRS will borrow $500,000 today. TRS will obtain the funds from the Commonwealth Bank (CBA). The interest rate charged on the loan is 12% p.a., and the loan term is ten years. The first principal and interest payment occurs in Year 1.

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