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A borrower takes out a 20-year mortgage loan for $100,000 with an interest rate of 6% plus 4 discount points fee. What is the effective

A borrower takes out a 20-year mortgage loan for $100,000 with an interest rate of 6% plus 4 discount points fee. What is the effective annual interest rate on the loan if the loan is carried for all 20 years?

Group of answer choices (shown through excel)

6.4%

5.6%

7.0%

6.7%

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