Consider a $$42,000$ loan to be repaid in equal annual installments at the end of each of the next $7$ years. The interest rate is

$8\mathrm{.}9\%.$ Set up an Amortization Schedule for the loan. Use the information in your Amortization Schedule to answer the

following questions:

a$)$ What is the annual payment?

b$)$ What portion of the annual payment goes toward interest for year $2,$ in dollars?

c$)$ What portion of the annual payment goes toward interest for year $6,$ in dollars?

d$)$ What is the total amount to be paid over the $7$ years of payments owed?

You shop around and find another lender that offers a similar loan at a $6\mathrm{.}5\%$ interest rate. You will still borrow $$42,000$ to be

repaid in equal installments at the end of each of the next $7$ years.

e$)$ At the $6\mathrm{.}5\%$ interest rate, what is the total amount to be paid over the $7$ years of payments owed?