You are considering purchasing a house for 295,000. you have two loan options. Do a three-month loan amortization for each and calculate the total finance charge. Assume a 15% down payment. Which option should you pick? 20% down payment required and monthly payments required.

A. 20 year 6.25% loan with one discount point

Beginning balance Payment Principal Interest Ending balance

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Total finance charge

B. 20 year 6.00% with 1.5 discount points

Beginning balance Payment Principal Interest Ending balance

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Total finance charge