3-12. Suppose that the $20,000 in Problem 3-11 is to be repaid at a rate of $4,000 per year plus the interest that is owed and based on the beginning-of-year unpaid principal. Com- pute the total...

someone solve Question 3.12 while question 3.11 also given .solve it step by step not by excel

Extracted text: 3-12. Suppose that the $20,000 in Problem 3-11 is to be repaid at a rate of $4,000 per year plus the interest that is owed and based on the beginning-of-year unpaid principal. Com- pute the total amount of interest repaid in this situation and compare it with that of Problem 3-11. Why are the two amounts different:


Extracted text: S11. A present obligation of $20;000 is to be re- paid in equal uniform annual amounts, each of which includes repayment of the debt (princi- pal) and interest on the debt, over a period of 5 years. If the interest rate per year is 10%, what is the amount of the annual repayment?