A farmer is considering borrowing money from a bank. Given the following information:

Initial loan amount is $$250,000.$

The loan will be fully amortized in $3$ years at $14\%.$

Marginal tax rate is $15\%.$

$($ii$)$ What is the interest payment in the $1^{st}$ year?

a$.$ $$41,176\mathrm{.}47$

b$.$ $$29,750\mathrm{.}00$

c$.$ $$40,250\mathrm{.}00$

d$.$ $$35,000\mathrm{.}00$

ENTER RESPONSE HERE:

$($iii$)$ What is the interest payment in the $2^{nd}$ year?

a$.$ $$21,100\mathrm{.}74$

b$.$ $$29,205\mathrm{.}17$

c$.$ $$28,548\mathrm{.}06$

d$.$ $$24,824\mathrm{.}40$

ENTER RESPONSE HERE:

$($iii$)$ What is the total interest payment for this loan?

a$.$ $$83,605\mathrm{.}86$

b$.$ $$82,022\mathrm{.}27$

c$.$ $$73,048\mathrm{.}61$

d$.$ None of the answers are correct

ENTER RESPONSE HERE: