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24) Your business finance teacher asks you to compare a 15-year fixed rate at 5.75 percent to a 30-year fixed rate at 6.25 percent on
24) Your business finance teacher asks you to compare a 15-year fixed rate at 5.75 percent to a 30-year fixed rate at 6.25 percent on a house priced to sell quickly for $185,400. If the prospective buyer has set a monthly house payment in her budget to pay no more than $1,300 a month, which mortgage should she take out after computing the monthly payment under cach plan? A) The 15-year fixed at 5.75 percent with payments of $1,538.82 B) The 30-year fixed at 6.25 percent with payments of $1,100.80 The 30-year fixed at 6.25 percent with payments of $1,142.06 D) The 15year fixed at 5.75 percent with payments of $1,600.00
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