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A recent college graduate borrows $100,000 at an interest rate of 7% to purchase a condominium....

A recent college graduate borrows $100,000 at an interest rate of 7% to purchase a condominium. Anticipating steady salary increases, the buyer expects to make payments at amonthly rate of 700(1+t/120), where t is the number of months since the loan was made.

a. Assuming this payment schedule can be maintained, when will the loan be fully paid?
b. Assuming the same payment schedule, how large a loan could be paid off in exactly 20 years?

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