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You decide to buy a new house for which you take a 30-year, 10 percent mortgage loan of RM150,000. Your mortgage payments, which are made
You decide to buy a new house for which you take a 30-year, 10 percent mortgage loan of RM150,000. Your mortgage payments, which are made at the end of each year (one payment each year), include both principal and 10 percent interest on the declining balance. How large will your annual payments be? How much of your second payment goes towards interest payment, and how much towards the repayment of the principal amount?
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