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- where the balloon payment is calculated as the future value ofthe cash flows between months 0 and 120. - where the balloon payment is

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- where the balloon payment is calculated as the future value ofthe cash flows between months 0 and 120. - where the balloon payment is calculated as the present value of the payments over the remaining amortization period from months 121 to 360. [Although not required, we recommend you also check that you can calculate these answers both in Excel and on your financial calculator, to make sure you can do it both ways.]

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