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7) Ten years ago, Diane secured a bank loan of $300,000 to help finance the purchase of a new home. The term of the mortgage

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7) Ten years ago, Diane secured a bank loan of $300,000 to help finance the purchase of a new home. The term of the mortgage was 30 years, and the interest rate was 5% per year compounded monthly. Real estate prices have increased, and her home is now worth $425,000 a) What is Diane's current monthly mortgage payment? b) What is Diane's current outstanding principal? 7) Continued from previous page. How much interest has Diane paid on the loan after 10 year? c) Would you sell the house? Carefully explain your answer using your answers from parts a through c

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