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David purchased a property for $ 2 million and arranged a mortgage with DBS Bank to borrow 8 0 % of the property value. The

David purchased a property for $2 million and arranged a mortgage with DBS Bank to borrow 80% of the property value. The current mortgage rate is 3.5% p.a. David intended to repay his mortgage over 20 years. The mortgage repayment is made at the beginning of every month. Required:
(a) Compute the principal and interest repayments separately, which David has paid in total for first
3 months.

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