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We borrow $300,000 for a house. We are given a choice of two mortgages: Mortgage 1: 30 years with interest rate of 5% Mortgage B:

We borrow $300,000 for a house. We are given a choice of two mortgages: Mortgage 1: 30 years with interest rate of 5% Mortgage B: the term is 30 years. The interest rate for the first 6 years is 4% and then jumps to 8% for the remaining 14 years.

for what monthly payment are the two mortgage choices equivalent?

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