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9. Two loans, both of an amount of 720,000 are repaid at a nominal interest...

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9. Two loans, both of an amount of 720,000 are repaid at a nominal interest rate of 19.2% convertible monthly. Loan 1 is to be repaid with 360 level monthly payments. Loan 2 is to be repaid by 360 monthly payments, each containing equal principal amounts and an interest amount based on the unpaid balance. Payments are made at the end of each month for both loans. The monthly payment for Loan 1 first exceeds the monthly payment for Loan 2 with the kth payment. For Loan 2, what is the total interest paid in the last 360 k payments? (a) 1,389,923 (b) 1,416,096 (c) 1,432,035 (d) 1,581,764 (e) 1,590,370 9. Two loans, both of an amount of 720,000 are repaid at a nominal interest rate of 19.2% convertible monthly. Loan 1 is to be repaid with 360 level monthly payments. Loan 2 is to be repaid by 360 monthly payments, each containing equal principal amounts and an interest amount based on the unpaid balance. Payments are made at the end of each month for both loans. The monthly payment for Loan 1 first exceeds the monthly payment for Loan 2 with the kth payment. For Loan 2, what is the total interest paid in the last 360 k payments? (a) 1,389,923 (b) 1,416,096 (c) 1,432,035 (d) 1,581,764 (e) 1,590,370

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