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The table shows the terms of a fixed-rate mortgage.
Which accurately describes the terms of this mortgage?
Check all that apply.
The homeowner is borrowing $360,000.
Component
Cost
(P) Principal
$200 000
| The monthly interest rate is 4 percent.
4%
Monthly payments must be made for 30 years.
(R) Monthly interest rate
(n) Total number of
monthly payments (30-
year term)
360
The annual interest rate is 4.8 percent.
The homeowner is borrowing $200,000
(M) Monthly payment
Monthly payments must be made for 360 years.
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The table shows the terms of a fixed-rate mortgage.
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