A recent college graduate borrows $100,000 at the interest rate of 9% to buy a condominium. Anticipating steady salary raises, the buyer expects to make payments at the monthly rate of 800(1 + t/120), where t is the number of months since loan was made.
(a) Supposing that this payment schedule can be maintained, when will the loan be fully paid?
(b) Supposing the same payment schedule, how large a loan could be paid off in exactly 20 years?