Transcribed image text: QUESTION 2 A borrower takes out a 10-year loan for 400,000, with level end-of-semi-annual payments, at an annual nominal interest rate of 10% convertible semi- annually. Immediately after the 6th payment, the borrower decides to refinance the loan at an annual nominal interest rate of), convertible semi- annually. The remaining term of the loan is kept at seven years, and level payments continue to be made at the end of every six months. However, each payment is now 500 lower than each payment from the original loan. Calculate), A. 4.896 B. 6.396 O C.8.19 0.9.5 E. 11.2%