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Cari just bought a house. She made a $35,000 down payment and financed the balance with a 30-year home mortgage loan with an interest rate of 5.75% compounded monthly. Her monthly mortgage payment is$877. What was the selling price of the house?

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Cari had taken out the 3030-year home mortgage loan with an interest rate of 5.75%5.75\%. Her monthly payment is $877\$877. We need to find the selling price of the house. The selling price will be the sum of the $35000\$35000 down payment and the amount she took with the mortgage. Let PP denote that amount.

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