A $16,000 loan is to be amortized by monthly payments over a five-year period. The interest rate on the loan is 10.8% compounded monthly.
a) What is the interest portion of the 29th payment?
b) Determine the principal portion of the 46th payment.
c) How much will the principal be reduced in the second year?
d) How much interest will be paid in the third year?
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