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Several years ago, a $. 2,000,000 fixed rate, monthly amortizing mortgage was issued for 20 years at 5.5% rate. The monthly payment is $13,758. 3.2%
| Several years ago, a $. 2,000,000 fixed rate, monthly amortizing mortgage was issued for 20 years at 5.5% rate. |
| The monthly payment is $13,758. |
| 3.2% Prepayment penalty is applied to the loan balance. It is calculated at $34,130 |
| Consider no friction costs during origination of the loan. |
| 1)What is the loan balance at this time? |
| 2)What is the EBC if the loan is pre-paid now? |
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Essentials Of Health Care Finance
Authors: William O. Cleverley, James O. Cleverley
8th Edition
1284094634, 978-1284094633
