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How much interest will marigold corp. pay over term of loan

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Problem 1: Marigold Corp. is purchasing new equipment with a cash cost of $292000 for an assembly line. The manufacturer has offered to accept $68800 payment at the end of each of the next six years. How much interest will Marigold Corp. pay over the term of the loan?

Option 1: $412800.
Option 2: $68800.
Option 3: $120800.
Option 4: $292000.

 

Reference no: EM132832338

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