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SHOW ALL WORK! Make any assumptions necessary for you to complete each problem; however, you need to document 1) what your assumption and 2) why

SHOW ALL WORK!
Make any assumptions necessary for you to complete each problem; however, you need to document 1) what your assumption and 2) why you feel compelled to make the assumption.
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2. LOAN AMORTIZATION. Today is T=0. You borrow $250,000 today at a rate of interest of 8%. You agree to repay the loan over five years. Assuming a 40% tax rate, what are the tax implications, annually, if you repay the loan as a Zero amortization schedule Full amortization schedule Partial amortization schedule ($100,000 extra balloon payment at T=5

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