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You have two options when purchasing a house. The house costs $ 3 0 0 , 0 0 0 . The first option is a
You have two options when purchasing a house. The house costs $ The first option is a year mortgage with a rate of percent and the second option is a year mortgage with a rate of percent. You will make a down payment of percent of the purchase price.
a Calculate the amount of interest and, separately, principal paid on each mortgage. What is the difference in interest paid?
b Calculate your monthly payments on the two mortgages. What is the difference in the monthly payment on the two mortgages?
For all requirements, do not round intermediate calculations. Round your answers to decimal places. eg
tableaInterest under year mortgage,Interest under year mortgage,Difference in interest paid,bMonthly payment under year mortgage,Monthly payment under year mortgage,Difference in monthly payment,
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