Help with the last question number 15. There is a picture with some of the solutions (bio teonen onae)lla nSaran and Keith are purchasing a house together. Keith would like to purchaseahouse for $600,000. Sara is a bit more conservative and would like topurchase a house for $350.000, In both situations they can put $70,000 dovPeir down payment on each house. They can obtain a 30-year mortgage at4.5% compounded monthly.1ed lliw isdW12. Calculate the amount to be borrowed for each house. 16llob 1200em3.13. Calculate the payments for each house (round to nearest penny).wolf14. Calculate the total cost of each house (excluding closing costs, property taxes,maintenance, etc.) (round to nearest dollar).15. Keith ignores the total cost of the $600,000 house and argues that they canafford the payments so they should buy it. Sarah suggests that they purchaseilo the $350,000 house and invest the difference in monthly payments betweenthe two houses at 7% compounded monthly for 30 years. How much wouldeg this investment amount to (round to nearest dollar)? LIDraryhelp with this questions2 Value of house3 Down payment$600,000.00 $350,000.00$ 70,000.00 $ 70,000.00Loan amoumt24530,000.00 $280,000.007 b.8 Interest rate9 No. of years10 Monthly rate11 No. of payments4.50%300.38%3604.50%300.38%3601213 Payment amount$2,685.43$1,418.721415 C.16 Total payments made$966,755.57 $510,738.791718 Total cost of house$1,036,756$580,73919Step 41 Particulars2Value of house3 Down paymentKelth60000070000Sarah35000070000sa. Loan amoumtB2-B3=C2-C37 b.8 Interest rate9 No. of years10 Monthly rate11 No. of payments0.04530=B8/12=B9 120.04530-C8/12C9*126.1213 Payment amountЕРМТ В 10,В11,-B5,0)|-РМТ(С 10,С11,-С5,0)1516 Total payments made=B13 B11=C13 C111713Total cost of house3DB16+B3C16+C319

Given The amount to be borrowed to buy the house worth $600,000 will be $(600,000-70,000)=$530,000 A= P(1+r/n)nt where P= 530,000 , r= 4.5% , t= 30 years since it is compounded monthly, n =12 hence A=530,000(1+0.045/12)12(30) A= $2,309,279.96 This is the total amount to be paid, the amount to be paid monthly will be 2,309,279.96/(30×12)= $5664.6 Similarly in the case when the house is bought at $350,000 the loan amount will be 350,000-70,000=$ 280,000 A=280,000(1+0.045/12)12(30) A= $1,077,355.45 This is the final payment so monthly payment will be 1,346,694.31/(30×12)= $2992.65 The difference in amount = $(600,000-350,000)= $250,000 Since she wants to invest this amount so this amount will be the principal amount so P= $250,000 Rate of interest= 7% time , t = 30 years n=12 so A= P(1+r/n)nt A= 250,000(1+0.07/12)12(30) A=$ 2,029,124.37 So if they invest the difference amount at this rate then final amount they get is $ 2,029,124.37