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You have are a considering a mortgage from First Bank and Trust. It carries an interest rate 5% (APR based on monthly compounding), a 30-year
You have are a considering a mortgage from First Bank and Trust. It carries an interest rate 5% (APR based on monthly compounding), a 30-year term, and a payment of $2,010 per month. Your financial advisor is suggesting you consider a deal where you make payments bi-weekly instead of monthly. This is, instead of payment $2,010 every month, you can make half that payment every two weeks (i.e., 52/2 = 26 payments per year). Under this alternative, and keeping the EAR of the mortgage unchanged, how long will it take to pay off the mortgage? Note: If you round intermediate calculations, do so carefully: you should have at least 8 decimal places for all intermediate calculations. It will take you approximately years to pay it off, and the number of payments will be | enter the years rounded to the nearest whole number.). (Round number of payements to two decimal places and
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