2) Ahmet bought a new house for 1 100 000 TL and financed 70 percent of the purchase price with a mortgage loan at an monthly interest of 1,25 percent. Ahmet will repay the loan with 72 monthly equal payments starting next month. What are his monthly installments?

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A:

Q: 22: Greg Brown borrowed $1,700,000 to purchase a house. He agreed to repay the loan vith equal…

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A:

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Cost of Credit

The cost of credit is an extra amount that the borrower has to pay besides the loan amount. These credit charges may vary from loan to loan. The cost of credit includes interest charges, maintenance charges, and arrangement charges. Some of the costs are mandatorily collected by the lender based on the loan amount and tenure of the loan. The cost of credit is also called finance charges of the credit.