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(1 point) The monthly payment for a home loan is given by a function f(P,r, N) where P is the principal (the initial size
(1 point) The monthly payment for a home loan is given by a function f(P,r, N) where P is the principal (the initial size of the loan), the interest rate, and N the length of the loan in months. Interest rates are expressed as a decimal: A % interest rate is denoted by r = 0.035. If P = 450000, r = 0.035, and N = 204(a 17-year loan), then the monthly payment is f(450000, 0.035, 204) = 647. Furthermore, with these values we have Estimate: af af af 0.0064, 6755, = 1.5356 r N (a) The change in monthly payment per 1500 increase in loan principal: Af dollars (b) The change in monthly payment if the interest rate changes from r = 0.035 to r = 0.02: Af dollars (c) The change in monthly payment if the length of the loan changes from 17 to 20 years: Af dollars
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