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Axl will be borrowing $200,000 today to buy a house, and he will pay it back with 30 yearly payments starting one year from today.

Axl will be borrowing $200,000 today to buy a house, and he will pay it back with 30 yearly payments starting one year from today. If the effective annual interest rate is 13%, how much will the final payment be if the annual payments are constant?

Select one:

a.

$27,000

b.

$6,700

c.

$20,000

d.

$33,000

e.

$7,500

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