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(CHAPTER 6) (The same correct answer may be repeated more than once.) INTEREST-ONLY LOANS. For these loans, the loan balance is over the duration of

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(CHAPTER 6) (The same correct answer may be repeated more than once.) INTEREST-ONLY LOANS. For these loans, the loan balance is over the duration of the loan. AMORTIZING LOANS WITH FIXED TOTAL PAYMENTS. This is the most common type of consumer loans which is used, for example, for home mortgage loans and car loans. In this type of loans, the loan balance over the duration of the loan. gradually increasing gradually decreasing remaining constant (CHAPTER 7) Treasury bills are currently offering a 9 percent annual return (or yield to maturity) to their investors. The inflation rate is 4 percent per year. Calculate the exact real rate of return to investors buying Treasury bills. 5.00 % 4.81 % 10.69 % 13.00 % 13.36 %

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