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Problem 4 1 . 4 A loan of 1 0 0 , 0 0 0 is being repaid with annual payments at the end of

Problem 41.4
A loan of 100,000 is being repaid with annual payments at the end of each year for 10 years. The interest rate on the loan is 10.25%. Each annual payment increases by 5% over the previous annual payment.
Calculate the principal in the fifth payment.
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