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1. Mr. Tyson borrows $100,000 from a bank at j12 = 12%. He plans to pay this off with monthly payments over the next 4

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1. Mr. Tyson borrows $100,000 from a bank at j12 = 12%. He plans to pay this off with monthly payments over the next 4 years. (a) What are the monthly payments? (2 points) (b) After 2 years, the bank sells the loan to another bank, which wants to receive j12 = 11%. How much does that bank pay for the loan? (2 points) (c) What is the first banks annual effective yield from their loan? (2 points)

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