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Your bank offers to lend you $90,100 at an 8.5% annual interest rate to start your new business. The terms require you to amortize the

Your bank offers to lend you $90,100 at an 8.5% annual interest rate to start your new business. The terms require you to amortize the loan with 10 equal end-of-year payments. How much interest would you be paying in Year 2?

a.

$6,428.03
b.

$7,142.26
c.

$5,713.81
d.

$8,213.60
e.

$6,785.15

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