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Please show the specific steps of how to get the answer. Thank you very much. George borrows 1,000 on January 1, 1983. The loan is

Please show the specific steps of how to get the answer. Thank you very much. image text in transcribed
George borrows 1,000 on January 1, 1983. The loan is to be repaid over ten years as follows: (i) Each December 31st 5% interest on the loan is paid. (ii) The principal is to be repaid by means of level annual deposits to a sinking fund at the end of each year. The sinking fund accumulates interest at an effective annual rate of 4% until December 31, 1985 and 3% Which of the following is closest to the total annual payment George must make? (A) $129 (B) $131 (c)$133 (D) $135 (E) $137

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