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**mathaddict** A house buyer borrows RM 50000 from a bank to buy a house which costs RM 70000 .The rate of interest charged by the bank is 9% per annum ,and is calculated based on the amount outstanding at the begining of each year . The house buyer is required to repay his loan in monthly installments for a period of 15 years . Assuming that the rate of interest is fixed for the entire duration of the loan , find the amount per month he has to repay the bank ?

My attempt :

It forms a sequence as follows :

$\displaystyle 50000,50000(1.09),50000(1.09)^2,...,50000(1.09)^{n-1}$

The 15th term , $\displaystyle T_15=50000(1.09)^14=167086.35$

which is the amount he has to pay by the end of 15 years .

Thus , every month he has to pay $\displaystyle \frac{167086.35}{15\times12}=928.26$

My answer is obviously wrong . I wonder where my mistake is .. Thanks to the one who help me out ..