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Ella borrowed $ 2 0 , 0 0 0 at a 6 % annual rate of interest to be repaid over five years. The loan
Ella borrowed $ at a annual rate of interest to be repaid over five
years. The loan is amortized into five equal, annual, endofyear payments.
a Write down the formula with numerical inputs for calculating the endofyear loan payment An example of a formula with numerical inputs:
b Calculate the annual, endofyear loan payment.
c What are interest payments in years and
d What is the ending loan principle at the end of year
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