Determine the purchase price of the house

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Barb bought a house with 20% down and the rest financed by a 30-year mortgage with monthly payments calculated at a nominal annual rate of interest 8.4% compounded monthly.

She notices that one-third of the way through the mortgage she will still owe 200,000.

Determine the purchase price of the house.

  1. 252,706
  2. 262,706
  3. 272,806
  4. 282,706
  5. 292,706

Reference no: EM132395242

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