A $110,000 mortgage was amortized over 20 years by monthly repayments. The interest rate on the mortgage was fixed at 5.60% compounded semi-annually for the entire period. Full solutions should be shown on separate sheets of paper. Submit your solutions. a. Calculate the size of the payments rounded up to the next $100.

A $110,000 mortgage was amortized over 20 years by monthly repayments. The interest rate on the mortgage was fixed at 5.60% compounded semi-annually for the entire period. Full solutions should be shown on separate sheets of paper. Submit your solutions. a. Calculate the size of the payments rounded up to the next $100.

Essentials Of Investments

11th Edition

ISBN:9781260013924

Author:Bodie, Zvi, Kane, Alex, MARCUS, Alan J.

Publisher:Bodie, Zvi, Kane, Alex, MARCUS, Alan J.

Chapter1: Investments: Background And Issues

Section: Chapter Questions

Problem 1PS

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A mortgage balance of $28,000 is to be repaid over a 15-year term by equal monthly payments at 4.9% compounded semi-annually. At the request of the mortgagor, the monthly payments were set at $425. (a) (b) What is the size of the last payment? (c) Determine the difference between the total amount required to amortize the mortgage with the contractual monthly payments rounded to the nearest cent and the total actual amount paid. How many payments will the mortgagor have to make? (a) The mortgagor will have to make payments. (Round up to the nearest whole number.)
Prepare the first 5 months of an amortization schedule with a 30-year mortgage monthly payment, Property is selling for $489,000, 15% down payment, 6.625% fixed interest rate, estimated property taxes $6,816, insurance is $1350 a year. What is the monthly payment, interest portion, principal portion, and end of month principal for the first 5 months.
A $98,000 mortgage is to be amortized by making monthly payments for 20 years. Interest is 6.6% compounded semi-annually for a five-year term. (a) Compute the size of the monthly payment. (b) Determine the balance at the end of the five-year term. (c) If the mortgage is renewed for a five-year term at 8% compounded semi-annually, what is the size of the monthly payment for the renewal term? (a) The size of the monthly payment is $ (Round the final answer to the nearest cent as needed. Round all intermediate values to six decimal places as needed.) (b) The balance at the end of the five-year term is $ (Round the final answer to the nearest cent as needed. Round all intermediate values to six decimal places as needed.) (c) The size of the monthly payment for the renewal term is $ (Round the final answer to the nearest cent as needed. Round all intermediate values to six decimal places as needed.)
A mortgage of $152,000 is to be repaid by making payments of $847 at the end of each month. If interest is 4.19% per annum compounded annually, what is the term of the mortgage? State your answer in years and months (from 0 to 11 months). The term of the mortgage is year(s) and month(s).
The balance on a mortgage was $40,100 and an interest rate of 5.50% compounded semi-annually was charged for the remaining 5-year term. Monthly payments were made to settle the mortgage. a. Calculate the size of the monthly payments. Round up to the next whole number b. If the monthly payments were set at $915, how long would it take to pay off the mortgage? years months Express the answer in years and months, rounded to the next payment period c. If the monthly payments were set at $915, calculate the size of the final payment. Round to the nearest cent V
A$282,000 mortgage for 25 years for a new home is obtained at the rate of 6.5% compounded monithly. Find (a) the monthly payment, (b) the interest in the first payment, (c) the principal repaid in the first payment, and (d) the finance charge. (a) The monthly payment on the mortgage is S (Round the final answer to two decimal places as needed Round all intermediate values to six decimal places as needed.)
Consider a home mortgage of $125,000 at a fixed APR of 4.5% for 25 years. a. Calculate the monthly payment. b. Determine the total amount paid over the term of the loan. c. Of the total amount paid, what percentage is paid toward the principal and what percentage is paid for interest. ..... a. The monthly payment is $ (Do not round until the final answer. Then round to the nearest cent as needed.)
The balance on a mortgage was $42,600 and an interest rate of 4.25% compounded semi-annually was charged for the remaining 3-year term. Monthly payments were made to settle the mortgage. a. Calculate the size of the monthly payments. Round up to the next whole number b. If the monthly payments were set at $1,412, how long would it take to pay off the mortgage? Express the answer in years and months, rounded to the next payment period (C). If the monthly payments were set at $1,412, calculate the size of the final payment.
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The balance on a mortgage was $45,000 and an interest rate of 4.50% compounded semi-annually was charged for the remaining 5-year term. Monthly payments were made to settle the mortgage. a. Calculate the size of the monthly payments. Round up to the next whole number b. If the monthly payments were set at $939, how long would it take to pay off the mortgage? o years o months Express the answer in years and months, rounded to the next payment period c. If the monthly payments were set at $939, calculate the size of the final payment.

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