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Solve using formula method Heather purchased a house for $325,000. She made a downpayment of 25% of the value of the house and received a
Solve using formula method
Heather purchased a house for $325,000. She made a downpayment of 25% of the value of the house and received a mortgage for the rest of the amount at 6.50% compounded semi-annually for 20 years. The interest rate was fixed for a 5-year term. a. Calculate the size of the monthly payments. $1,804.97 Round to the nearest cent b. Calculate the principal balance at the end of the 5-year term. $0.00 Round to the nearest cent c. Calculate the size of the monthly payments if after the first 5-year term the mortgage was renewed for another 5-year term at 6.25% compounded semi-annually? $0.00 Round to the nearest centStep by Step Solution
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