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Julie just bought herself a boat for $100,000. She placed a down payment of $25,000 and took out a loan for the balance. The terms
Julie just bought herself a boat for $100,000. She placed a down payment of
$25,000 and took out a loan for the balance. The terms are she must make semi-annual payments on the loan for 10 years, with the first payment in 6 months. Assuming the final payment is a balloon payment, what is the size of this final balloon payment? Assume
i(2)= 10%.
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