Difference between a short, medium and long term loan

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Reference no: EM1353526

Explain the difference between a short term, medium term and a long term loan. Use the following conditions to explain the relative size of the interest rates charged on the following types of loans:

1. A ten-year $1000 government bond
2. A $20 pawnshop loan
3. An FHA thirty-year mortgage loan on a $240,000 house.

Reference no: EM1353526

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