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A 30-year annuity is arranged to pay off a loan taken out today at a 5% annual effective interest rate. The first payment of the
A 30-year annuity is arranged to pay off a loan taken out today at a 5% annual effective interest rate. The first payment of the annuity is due in ten years in the amount of 1,000. The subsequent payments increase by 500 each year. Calculate the amount of the loan. A) 58,283 B) 61,197 C) 64,021 D) 64,257 E) 69,211
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