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Question 3 A partially amortizing mortgage is issued for $4m for a term of 20 years at 5% interest rate. The borrower and lender agree

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Question 3 A partially amortizing mortgage is issued for $4m for a term of 20 years at 5% interest rate. The borrower and lender agree the amount of balloon payment to be $0.5m. a) Calculate the monthly payment b) What will the loan balance be if the borrower chooses to repay the loan after 5 years

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