A loan of 100000 is repaid by 10 annual payments starting one year after the loan is made. Annual payments are made for interest at 8% annual effective. Principal is repaid in a lump sum at the end of 10 years. The sinking fund earns interest at 10% annual effective. a) Find the annual payments using amortization b) Find annual payments using sinking fund method

scenario: hawaii and south carolina are trading partners. hawaii has an absolute advantage in the production of both coffee and tea. the opportunity cost of producing 1 pound of tea in hawaii is 2 pounds of coffee, and the opportunity cost of producing 1 pound of tea in south carolina is 1/3 pound of coffee. which of the following statements is true? a. south carolina should specialize in the production of both tea and coffee. b. hawaii should specialize in the production of tea, whereas south carolina should specialize in the production of coffee. c. hawaii should specialize in the production of coffee, whereas south carolina should specialize in the production of tea. d. hawaii should specialize in the production of both tea and coffee.