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QUESTION 5 Ann wants to buy an office building which costs $1,000,000. She obtains a 30 year partially amortizing fixed rate mortgage with 100% LTV,

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QUESTION 5 Ann wants to buy an office building which costs $1,000,000. She obtains a 30 year partially amortizing fixed rate mortgage with 100% LTV, an annual Interest rate of 7%. With monthly compounding and monthly payments. The payment on the loan is 56,000 per month. Ann has a balloon payment due 5 years after she gets the loan. If Ann pays the required monthly payment for 5 years, how much is her balloon payment

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