How much interest will the farmer pay over the life of loan, Marketing Management

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How much interest will the farmer pay over the life of loan

Problem

A farmer just bought a brand new truck from the local Chevrolet dealership at a price of $65,000.

i. The farmer receives income annually so he wants to know what the annual payments would be on a $65,000 loan over 6 years at 5% (payments made at the end of each year).

ii. How much interest will the farmer pay over the life of the loan if the annual payments are made on time?

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Marketing Management: How much interest will the farmer pay over the life of loan

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Marketing Management: How much interest will the farmer pay over the life of loan

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