Larger will the outstanding balance be at time of repayment

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You are choosing between a 15 year fully amortizing fixed rate constant payment loan with a 3.15% rate and a 30 year fixed rate loan with a 3.40% rate. In either case you would borrow $400,000. If you plan to only hold which ever loan you select for 10 years (i.e. you will make 120 payments), how much larger will the outstanding balance be at time of repayment on the 30 year loan versus the 15 year loan? State your answer as a positive number rounded to the nearest cent.

Reference no: EM131459065

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