Question: 1.5. Answer the following question using a spreadsheet and the material in the appendix. You would like to buy a house. Assume that given your

1.5. Answer the following question using a spreadsheet and the material in the appendix.

You would like to buy a house. Assume that given your income, you can afford to pay

$12,000 a year to a lender for the next 30 years.

If the interest rate is 7% how much can you borrow today based on your ability to pay?

What about if the interest rate is 3%?

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