Suppose that you have a plan to pay RO 0592 as an annuity at the end of n month for 20 years in the Bank Muscat. If the Bank Muscat offer discount 2% compounded monthly, then compute the present value of an ordinary uity.

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Mortgages

A mortgage is a formal agreement in which a bank or other financial institution lends cash at interest in return for assuming the title to the debtor's property, on the condition that the obligation is paid in full.

Mortgage

The term "mortgage" is a type of loan that a borrower takes to maintain his house or any form of assets and he agrees to return the amount in a particular period of time to the lender usually in a series of regular equally monthly, quarterly, or half-yearly payments.