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On the following loan, what is the best estimate of the effective borrowing cost if the loan is prepaid in six years? Loan: $100,000 Interest

On the following loan, what is the best estimate of the effective borrowing cost if the loan is prepaid in six years?

Loan: $100,000

Interest rate: 9 percent

Term: 180 months

Up-front costs: 7 percent of the loan amount

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