t'l Business Finance FA2023 k: Ch-08 Interest derivatives st K Question 5, Problem 8-7 (algorithmic) Part 1 of 3 The annual payment, if the interest rate was 10%, is $ HW Score: 83.33%, 10 of 12 points O Points: 0 of 2 Sovereign Debt Negotiations. A sovereign borrower is considering a $100 million loan for a 4-year maturity. It will be an amortizing loan, meaning that the interest and principal payments will total, annually, to a constant amount over the maturity of the loan. There is, however, a debate over the appropriate interest rate. The borrower believes the appropriate rate for its current credit standing in the market today is 10%, but a number of international banks with which it is negotiating are arguing that is most likely 13%, at the minimum 10% What impact do these different interest rates have on the prospective annual payments? (Round to the nearest dollar). Save