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Consider a reverse annuity mortgage in which a retired couple receives monthly payments of 500 for a period of ten years and the total repayment

Consider a reverse annuity mortgage in which a retired couple receives monthly payments of 500 for a period of ten years and the total repayment amount is 80,000. The interest rate of this mortgage is closest to:

(a) 4.76%

(b) 5.56%

(c) 5.91%

(d) 6.24%

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