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Roger Sterling has decided to buy an ad agency and is going to finance the purchase with seller financing - that is , a loan
Roger Sterling has decided to buy an ad agency and is going to finance the purchase with seller financing that is a loan from the current owners of the agency. The loan will be for $ financed at an APR of percent compounded monthly. This loan will be paid off over years with endofmonth payments, along with a $ balloon payment at the end of year That is the $ million loan will be paid off with monthly payments, and there will also be a final payment of $ at the end of the final month. How much will the monthly payments be
a How much of the loan will be paid off by the final $payment
b How much of the loan must be paid off by the equal monthly payments?
c How much will the monthly payments be
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