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You are thinking of purchasing a house. The house costs $250,000. You have $20,000 in cash that you can use as a down payment on

You are thinking of purchasing a house. The house costs $250,000. You have $20,000 in cash that you can use as a down payment on the house, but you need to borrow the rest of the purchase price. The bank is offering a 20-year mortgage that requires annual payments and has an interest rate of 6% per year. What will your annual payment be if you sign up for this mortgage?

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