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Smith has a loan of $11,000 that needs to be repaid in ten annual payments. The loan has an annual effective interest rate of 5%.

Smith has a loan of $11,000 that needs to be repaid in ten annual payments. The loan has an annual effective interest rate of 5%. The first payment is $1,000 with each successive payment increasing by $100. 

Find the amount of principle in the 6th payment.

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