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A lender wants to achieve a 8.5% yield (MEY) on a 30-year amortization, monthly-payment loan with an 8-year maturity with balloon. How many disbursement discount

A lender wants to achieve a 8.5% yield (MEY) on a 30-year amortization, monthly-payment loan with an 8-year maturity with balloon. How many disbursement discount points must the lender charge under the following circumstances:

(a) Contract interest rate is 8%

(b) Contract interest rate is 7.5%.

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