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Rusty Nail owns his house free and clear, and it is worth $400,000. To finance his retirement, he acquires a reverse annuity mortgage (RAM) from

Rusty Nail owns his house free and clear, and it is worth $400,000. To finance his retirement, he acquires a reverse annuity mortgage (RAM) from this bank. The RAM provides a fixed monthly payment over 15 years on 75 percent of the value of his home at 5 percent. The payments are made at the beginning of the month. How much does Rust get each month?

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