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Simon and Jane borrowed R175 000 for an overseas holiday. They took out a personal loan from a local financial institution at an annual interest

Simon and Jane borrowed R175 000 for an overseas holiday. They took out a personal loan from a local financial institution at an annual interest rate of 12%, compounded annually. They plan to repay the loan in equal annual payments (at the end of the year) for the next 4 years. Calculate the total amount of interest that Simon and Jane will pay over the term of the personal loan.

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