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Q2. A homeowner borrows $100,000 on a mortgage loan, and the loan is to be repaid in five equal payments at the end of each
Q2. A homeowner borrows $100,000 on a mortgage loan, and the loan is to be repaid in five equal payments at the end of each year, the interest charged by the lender on this loan is 2.5%. a. Construct an amortization table b. How much is the yearly payment the borrower must pay to the lender? c. How much is the annual interest expense in year 1? d. How much is the annual principal paid in year 1? e. By the end of year 5 how much did the borrower paid toward principal
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