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Business, 30.11.2021 02:00 paula1172

Luke is borrowing $\$10{,}000$ from the bank. The bank offers him a choice between two $10$-year payment plans: Plan 1. Luke's debt accumulates $10\%$ annual interest which compounds quarterly. Luke pays off half his balance after $5$ years, and the rest at the end of the $10$ years. Plan 2. Luke's debt accumulates $10\%$ annual interest which compounds annually. Luke pays off his full balance at the end of the $10$ years. What is the (positive) difference between Luke's total payments under Plan 1 and his total payments under Plan 2

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Luke is borrowing $\$10{,}000$ from the bank. The bank offers him a choice between two $10$-year pay...
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