You have decided to become a homeowner with the purchase of a condominium in a newly redeveloped

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You have decided to become a homeowner with the purchase of a condominium in a newly redeveloped part of town. The condo costs $300,000 and you have a down payment of $90,000, so you will be carrying a mortgage of $210,000. If you take on a 5-year mortgage with a 25-year amortization period at a rate of 4.5% (compounded semiannually), with monthly payments, determine the following:

a. Your monthly payment.

b. The total interest and total principal paid over the first 5 years.

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Financial Management Theory And Practice

ISBN: 978-0176583057

3rd Canadian Edition

Authors: Eugene Brigham, Michael Ehrhardt, Jerome Gessaroli, Richard Nason

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