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Payment will represent interest

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You plan to borrow $35,000 at a 7.5% annual interest rate. The terms require you to amortize the loan with 7 equal end-of-year payments of $6,608.01. When you make the second payment, two years from today, what amount of the $6,608.01 payment will represent interest?

a. $2,326.27
b. $1,994.49
c. $2,099.46
d. $2,209.96

Reference no: EM131473782

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