7. John and Yuki want to buy a three-bedroom semi-detached house that currently sells for $725900. The annual property taxes for their home are approximately $3500. a) How much money do they need to make a 12% down payment? Find the mortgage amount. b) How much should they deposit each month, to have the down payment in five years, in a sav- TVM Advanced Calculator Mode End Beginning

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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.