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Alex took out a 7/1 variable-rate mortgage for $140,000. The interest rate for

the first period was fixed at 5.25%, and the loan was amortized over 30 years.

At the end of the initial loan period, the interest rate was 6.75%, plus a 1.5%

margin. What will the unpaid balance on his mortgage be after his initial

period expires?

1 Answer

4 votes

Answer: The correct answer is 123,740.97

User Timothy Leung
by
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