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Mr. Smith is purchasing a $ 160000 house. The down payment is 20 % of the price of the house. 

He is given the choice of two mortgages:

a) a 25-year mortgage at a rate of 8 %.

Find

(i) the monthly payment: $

(ii) the total amount of interest paid: $

b) a 15-year mortgage at a rate of 8%.

Find

(i) The monthly payment: $

(ii) the total amount of interest paid:

Reference no: EM131725694

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