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A few years ago you took out a $164,000 mortgage loan with a fixed 3.75% interest rate, 10-year loan term, and 25-year amortization schedule. What

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A few years ago you took out a $164,000 mortgage loan with a fixed 3.75% interest rate, 10-year loan term, and 25-year amortization schedule. What is the balloon payment that will be due at maturity? Using the information from Question 3, what is the effective cost of capital if the loan is prepaid after the 87th loan payment and the lender charges a 2% prepayment premium (penalty)

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