Finance the purchase of a large tract of land

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You have just arranged for a $1,860,000 mortgage to finance the purchase of a large tract of land. The mortgage has an APR of 8.8 percent, and it calls for monthly payments over the next 22 years. However, the loan has an eight-year balloon payment, meaning that the loan must be paid off then.

How big will the balloon payment be?

Reference no: EM131444511

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