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You have just taken out a 30-year, $120,000 mortgage on your new home. This mortgage is to be repaid in 360 equal installments. Each monthly

You have just taken out a 30-year, $120,000 mortgage on your new home. This mortgage is to be repaid in 360 equal installments. Each monthly payment is $1,500. What is the effective annual interest on this mortgage? What APR would make you indifferent to a mortgage that makes quarterly payments ? What would the amount of the quarterly payment be?

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