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Question 33 (6 points) You are acquiring a multi-family building at a total acquisition cost of $4,000,000. You will fund the acquisition with $1,000,000 of

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Question 33 (6 points) You are acquiring a multi-family building at a total acquisition cost of $4,000,000. You will fund the acquisition with $1,000,000 of equity and a $3,000,000 mortgage. The mortgage will have an interest rate of 5%, with 30-year amortization. You intend to hold the building for 10 years and then you plan to sell the building and retire. What would be the balloon payment on the mortgage after 10 years? Do it in steps: 1. What is your monthly mortgage payment? 2. What is the balloon payment in 10 years? You must do this on your calculator, not in Excel

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