A company financed the purchase of a machine with a loan at 2.75% compounded semi-annually. This loan would be settled by making payments of $8,000 at the end of every six months for 8 years. (Question relates to: Annuities - Future and Present Value Calculations for Ordinary Simple and General Annuity)

a. What was the principal balance of the loan? ________________Round to the nearest cent

b. What was the total amount of interest charged on the loan? ___________________Round to the nearest cent