On 1/1/X1, Sin Company borrowed $200,000 from Palm Bank. The loan term is 2 years and the interest rate is 6%. Under the loan terms, Sin will make a payment of $100,000 on 12/31/X1 and will pay the loan balance plus accrued interest on12/31/X2. Based on the above information, what is the loan balance on 1/1/X2? Multiple Choice $100,000 O $106,000 O $200,000 None of the Above

On 1/1/X1, Sin Company borrowed $200,000 from Palm Bank. The loan term is 2 years and the interest rate is 6%. Under the loan terms, Sin will make a payment of $100,000 on 12/31/X1 and will pay the loan balance plus accrued interest on 12/31/2. Based on the above information, what is the loan balance on 1/1/2? Multiple Choice $100,000 $106,000 $200,000 None of the Above