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A company takes out a loan of $200,000 with an annual interest rate of 5%, to be paid back over 5 years with annual payments.
A company takes out a loan of $200,000 with an annual interest rate of 5%, to be paid back over 5 years with annual payments.
Requirements:
- Create an amortization schedule for the loan.
- Calculate the total interest paid over the life of the loan.
- Determine the principal paid in the third year.
- Calculate the remaining balance after the fourth payment.
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