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A $60,000 Loan at 12% Compounded Semi-Annually Is to Be

Question 4

Multiple Choice

A $60,000 loan at 12% compounded semi-annually is to be repaid by monthly payments of $1,000.
-How much will the principal be reduced by payments 13 to 24 inclusive?


A) $5,978.87
B) $6,021.13
C) $11,147.84
D) $6,101.66
E) $5,898.34

Correct Answer:

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