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You would like to purchase a house worth $800; 000. You can only aord to make a down payment of $100; 000 and need to

You would like to purchase a house worth $800; 000. You can only aord to make a down payment of $100; 000 and need to take out a mortgage of $700; 000. The bank oers you a 25-year mortgage with annual payments. The interest rate is 6%: What would be your annual payment so that you repay in 25 years the total mortgage loan that you obtain from the bank today?

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