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A company financed the purchase of a machine with a loan at 2.5% compounded monthly. This loan would be settled by making payments of $8,600

A company financed the purchase of a machine with a loan at 2.5% compounded monthly. This loan would be settled by making payments of $8,600 at the end of every month for 10 years.

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?

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