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Assume a farmer takes out a five-year loan for $150,000. The annual interest rate is 8% and the farmer will make equal total annual payments
Assume a farmer takes out a five-year loan for $150,000. The annual interest rate is 8% and the farmer will make equal total annual payments for years one through five with a 35% balloon payment at the end of year five. How much will the balloon payment at the end of year five be? Round all numbers to the nearest whole dollar.
$22,500
$67,500
$37,500
$52,500
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