Sanders Company is planning to finance an expansion of its operatoons by borrowing $50,100. City Bank. has agreed to loon Sunders the funds. Sanders has two tepaymient options:(t) to issue a note with the principal due in 10 years and with interest payable annually or (2) to issue a note to repay \$5,010 of the principal eachyeat along with the annual interest based on the unpoid ptincipal balonce. Assume the interest rate is 10 percent for each option Required a. What amount of interest will Sanders pay in Year 1 under option 1 and under option 2 ? b. What amount of interest will Sanders pay in Year 2 under option 1 and under option 2? c. Which option is iess costly in the long run? Complete this question by entering your answers in the tabs below. What amount of interest wirs Sanders pay in Year 1 under option 1 and under option 27 (Round your finar answers to the nearest dellar amount.) Sanders Company is planning to finance an expansion of its operations by borrowing $50,100. City Bank has agreed to loan Sanders the funds. Sanders has two repayment options: (1) to issue a note with the principal due in 10 years and with interest payable annually or (2) to issue a note to repay $5,010 of the principal each year along with the annual interest based on the unpaid principal balance. Assume the interest rate is 10 percent for each option. Required a. What amount of interest will Sanders pay in Year 1 under option 1 and under option 2 ? b. What amount of interest will Sanders pay in Year 2 under option 1 and under option 2? c. Which option is less costly in the long run? Complete this question by entering your answers in the tabs below. What amount of interest will Sanders pay in Year 2 under option 1 and under option 2? (Round your final answers to the nearest dollar amount.) Sanders Company is planning to finance an expansion of its operations by borrowing $50,100. City Bank has agreed to loan Sanders the funds. Sanders has two repayment options: (1) to issue a note with the principal due in 10 years and with interest payable annually or (2) to issue a note to repay $5,010 of the principal each year along with the annual interest based on the unpaid principal balance. Assume the interest rate is 10 percent for each option. Required a. What amount of interest will Sanders pay in Year 1 under option 1 and under option 2? b. What amount of interest will Sanders pay in Year 2 under option 1 and under option 2 ? c. Which option is less costly in the long run? Complete this question by entering your answers in the tabs below. Which option is less costly in the long run