Suppose you borrowed $25,000 at a rate of 8.5% and must repay it in 5 equal installments at the end of each of the next 5 years. By how much would you reduce the amount you owe in the first year?

A. $5,804.89
B. $5,572.70
C. $4,469.77
D. $5,920.99
E. $5,108.30


Answer: A

Business

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