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Mr. Ahmad borrows 5000 at 5% annual effective interest, with payments at end of each year. The lender keeps the interest portion and accumulates the
Mr. Ahmad borrows 5000 at 5% annual effective interest, with payments at end of each year. The lender keeps the interest portion and accumulates the principal portion in a fund at 3.5% until loan is paid in full. Mr. Ahmad pays 750 each year until a smaller payment will complete the loan payment. What is the amount of this last payment, including interest?
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