You are planning to purchase a building for $40,000, and you have $10,000 to apply as a
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You are planning to purchase a building for $40,000, and you have $10,000 to apply as a down payment. You may borrow the remainder under the following terms: a 10-year loan with semiannual repayments and a stated interest rate of 6 %. You intend to make $6,000 payments, applying the excess over your required payment to the reduction of the principal balance.
a. Given these terms, how long (in years) will it take you to fully repay your loan?
b. What will be your total interest cost?
c. What would your interest cost be if you made no prepayments and repaid your loan by strictly adhering to the terms of the loan?
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Mohammed Afsal
Completed B-tech in electronics and communication engineering from A P J Abdul kalaam university with aggregate 85% . i have done my 12th From PTM Y HSS EDAPPALAM With aggregate 82%. I have done CCNA Routing and Swiching from B-soft education Centre and Finally completed pythone course From Udemy platform.
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I had to be more loving and caring for they were like pure budding flowers. I don’t know how but in the midst of many challenges I somehow managed to win their love and respect. That is the best gift a teacher can get.
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Related Book For 
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ISBN: 978-1111222284
3rd edition
Authors: John Graham, Scott Smart
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