Question: You need a 2 5 - year, fixed - rate mortgage to buy a new home for $ 2 8 5 , 0 0 0
You need a year, fixedrate mortgage to buy a new home for $Your mortgage bank will lend you the money at an APR of percent for this month However, you can only afford monthly payments of $ so you offer to pay off any remaining loan balance at the end of the loan in the form of a single balloon payment. How large will this balloon payment have to be for you to keep your monthly payments at $Do not round intermediate calculations and round your answer to decimal places eg
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