You plan to borrow $75,000 at a 7% annual interest rate.The terms require you to amortize the loan with 10 equal end-of-year payments.How much interest will be paid in year 2?

Hint: calculate PMT first, then use the AMORT function on the financial calculator to find the 2nd year interest payment.

Question 6 options:

$4,395.19

$4,626.52

$4,870.02

$5,113.52