Suppose, you wish to buy your first house and have a deposit of $150,000 saved up. Based

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Suppose, you wish to buy your first house and have a deposit of $150,000 saved up. Based on your income and living expenses, the most you can afford to repay each month is $3000.

How much can you borrow if you can expect to pay interest at 7.2% p.a. compounding monthly with repayments for 20 years?

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Money Banking and Financial Markets

ISBN: 978-0078021749

4th edition

Authors: Stephen Cecchetti, Kermit Schoenholtz

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Posted Date: Aug 02, 2018 01:42 AM

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Suppose, you wish to buy your first house and have a deposit of $150,000 saved up. Based

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