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A family in Melbourne purchased a house in August 2019. A local bank had approved a loan of L = $500,000 at a fixed annual
A family in Melbourne purchased a house in August 2019. A local bank had approved a loan of L = $500,000 at a fixed annual interest rate of r = 3.6% for this family to settle the purchase. The loan need to be paid over 25 years through monthly repayments of an equal amount m (in dollars). Note that m depends on r and is treated as a function of r denoted as m(r): r
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