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A Loan Is Being Repaid with Level Annual Payments of $1040

Question 2

Multiple Choice

A loan is being repaid with level annual payments of $1040 on July 30th of each year.The last $1040 loan payment is to be made on July 30,2015 and the interest portion of this final payment is $40.What is the principal portion of the payment made on July 30,2010?


A) $821.93
B) $828.03
C) $854.80
D) $863.84

Correct Answer:

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