Find the total interest paid over the life of the loan

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Reference no: EM131536478

The problem describes a debt to be amortized. (Round your answers to the nearest cent.)

A man buys a house for $310,000. He makes a $150,000 down payment and amortizes the rest of the purchase price with semiannual payments over the next 9 years. The interest rate on the debt is 9%, compounded semiannually.

(a) Find the size of each payment.

(b) Find the total amount paid for the purchase.

Reference no: EM131536478

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