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Suppose that an interest only mortgage is made for $60.000 at 8 percent interest for 8 years. The payments will be monthly and constant and

Suppose that an interest only mortgage is made for $60.000 at 8 percent interest for 8 years. The payments will be monthly and constant and will require no loan amortization. a. Calculate the monthly payments. b. Calculate the loan balance after 3 years. c. If the loan is repaid after 3 years, what will be the yield on the lender?

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