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Question - Nathan secured a lease on a machine by paying $1,250 as a down payment and then $175 at the beginning of every half-year for 5 years. Assume that the cost of financing is 3.99% compounded semi-annually.
Required -
a. What was the principal amount of the loan?
b. What was the cost of the machine?
c. What was the amount of interest paid over the term?
Determine article Glass Blocks Unlimited Commissioner of Internal Revenue to support the response. What are some strategies to mitigate these issues?
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