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ENGR.ECONOMIC ANALYSIS
14th Edition
ISBN: 9780190931919
Author: NEWNAN
Publisher: Oxford University Press
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Question
1). You are going to buy a home, and will be taking out a home loan for $275,000. The loan will be a standard 30 year loan, compounded annually, with an APR of 8%. What is annual payment.
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Step 1
Introduction: Annual payment is the amount that will be paid or repay the loan amount. Since the $275000 loan was taken at 8% interest rate so it is required to find the annual payment for 30 years.
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