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Consider a 10-year, fixed-rate mortgage for $100,000 at a nominal rate of 6%. What is the duration of the loan? If interest rates increase to
- Consider a 10-year, fixed-rate mortgage for $100,000 at a nominal rate of 6%. What is the duration of the loan? If interest rates increase to 7% immediately after the mortgage is made, how much is the loan worth to the lender?
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Money, Banking, Financial Markets & Institutions
Authors: Michael Brandl
2nd Edition
1337904821, 9781337904827
