There is a loan of $100,000 at 6% with a payment of $700 a month. If the loan has a balloon provision at the end of eight years, how much will the balloon payment be?
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Answer to 10/24/2011 problem:
(N=360,I=6,PV=80,000,FV=0) PMT= $479.64
(N=360,I=4.25,PV=63,000,FV=0) PMT = $309.92