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The price of a home is $ 1 5 0 , 0 0 0 . The bank requires a 1 5 % down payment. The

The price of a home is $150,000. The bank requires a 15% down payment. The buyer is offered two mortgage options: 15-year fixed at 8.5% or 30-year fixed at 8.5%. Calculate the amount of interest paid for each option. How much does the buyer save in interest with the 15-year option? Use the following formula to determine the regular payment amount.
PMT=P(rn)[1-(1+rn)-nt]
Find the monthly payment for the 15-year option.
$1256
(Round to the nearest dollar as needed.)
Find the monthly payment for the 30-year option.
$
(Round to the nearest dollar as needed.)
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