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A $350,000 mortgage amortized over 25 years for a new home is obtained at the rate of 8.5% compounded monthly. (a) Find the monthly payment.
A $350,000 mortgage amortized over 25 years for a new home is obtained at the rate of 8.5% compounded monthly. (a) Find the monthly payment. (2 marks) (b) Construct an amortization schedule for the first three months of this mortgage: (6 marks) (c) What is the finance charge (that is, the total amount of interest paid) on the loan? (2 marks) A $350,000 mortgage amortized over 25 years for a new home is obtained at the rate of 8.5% compounded monthly. (a) Find the monthly payment. (2 marks) (b) Construct an amortization schedule for the first three months of this mortgage: (6 marks) (c) What is the finance charge (that is, the total amount of interest paid) on the loan? (2 marks)
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