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Reem has borrowed AED 3,000,000 from Dubai Commercial Bank The annual interest rate on this loan is 6 percent and the loan is to be
Reem has borrowed AED 3,000,000 from Dubai Commercial Bank The annual interest rate on this loan is 6 percent and the loan is to be repaid over five years with equal payments at the end of each year.
i. What will be the annual loan payment?
ii. What will be the interest and principal portions of the payments for each of the five years? iii. What will be the total interest payments over the five years?
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