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Amir has obtained a $200,000 mortgage. The mortgage is amortized over 15 years. The mortgage interest rate is 8% compounded semiannually. Amir will begin making
Amir has obtained a $200,000 mortgage. The mortgage is amortized over 15 years. The mortgage interest rate is 8% compounded semiannually. Amir will begin making payments at the beginning of the payment in each semiannual period. a. Calculate the effective semiannual rate b. What is the semiannual installment payment? c. Calculate the how much Amir owe after 5 years? d. Calculate the interest amount to be paid on 11th installment payment? e. Calculate the principal amount to be paid 5th installment payment?
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