The price of a small vacation home is 40000. the bank, Ask an Expert

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The price of a small vacation home is $40,000. The bank requires a 5% down payment. The buyer is offered two mortgage options: 20 year fixed at 8% or 30 year fixed at 8%.

a. Calculate the amount of interest paid for each option.

b. How much does the buyer save in interest with the 20 year option?

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Algebra, Academics

Category:- Algebra
Reference No.:- M9398445

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