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Please answer this step by step and manually. ASAP Q3. A...

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Finance

Please answer this step by step and manually. ASAP
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Q3. A couple purchased a home and signed a mortgage contract for RM180,000 to be paid with monthly payments calculated over a 25 years period at je= 10%. The interest rate is guaranteed for 5 years. After 5 years, they renegotiate the interest rate and refinance the loan at je= 6,5%. There is no penalty if a mortgage is refinanced at the end of an interest rate guarantee period. You are required to: (1) Estimate the monthly payment for the initial 5 years period. (6 marks) (ii) Calculate a new monthly payments after 5 years. (6 marks) (iii) Examine the accumulated value of the savings for the second 5 years period ( at the end of the period ) if j2 = 4.5 %. (4 marks) (iv) Find the outstanding balance at the end 10 years. (5 marks) (v) Interpret your answer in Q3 (iv). (5 marks) 33

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