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8) Scotty buys a retirement condo for $200,000 and has taken out a 25 -year mortgage with monthly payments. (6 marks total- CH14 ) 10a)
8) Scotty buys a retirement condo for $200,000 and has taken out a 25 -year mortgage with monthly payments. (6 marks total- CH14 ) 10a) If he locks in an interest rate of 3% compounded semi-annually for the first 4 years, how large are the payments? 10b) How much is still owing (principle outstanding) after 4 years? 10c) After the original 4 years, the interest rate changes to 4% compounded semi-annually. How much will the new monthly payments be, given the mortgage has (already) been paid down for 4 years with those payments calculated in part " a
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