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A couple purchased a home and signed a mortgage contract for $400, 000 to be paid with half-yearly payments over a 25-year period. The interest
A couple purchased a home and signed a mortgage contract for $400, 000 to be paid with half-yearly payments over a 25-year period. The interest rate applicable is j2 = 7.5% p.a. applicable for the rst ve years, with the condition that the interest rate will be increased by 9% every 5 years for the remaining term of the loan. Calculate the half-yearly payment required for each ve-year interval
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