Question
A 20 year fully amortizing mortgage loan was made 4 years ago for $65.000 at 5 percent interest. The borrower would like to prepay the
A 20 year fully amortizing mortgage loan was made 4 years ago for $65.000 at 5 percent interest. The borrower would like to prepay the mortgage balance by $8000. a. Assuming he can reduce his monthly mortgage payments, what is the new mortgage payment? b. Assuming the loan maturity is shortened and using the original monthly payments, what is the new loan maturity?
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Using Financial Accounting Information The Alternative to Debits and Credits
Authors: Gary A. Porter, Curtis L. Norton
8th edition
1111534918, 978-1111534912
