a. What is the size of the quarterly payments? (Round to the nearest cent) b. How much will the amortization period be shortened by if weekly payments of $675 are made instead of the quarterly payments? ___years ____months (Express the answer in years and months, rounded to the next payment period) c. How much interest will be saved if the weekly payments of $675 are made instead of the quarterly payments? (Round to the nearest cent)
a. What is the size of the quarterly payments? (Round to the nearest cent) b. How much will the amortization period be shortened by if weekly payments of $675 are made instead of the quarterly payments? ___years ____months (Express the answer in years and months, rounded to the next payment period) c. How much interest will be saved if the weekly payments of $675 are made instead of the quarterly payments? (Round to the nearest cent)
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 30-year, $425,000 mortgage at 1.90% compounded annually was settled with quarterly payments.
a. What is the size of the quarterly payments? (Round to the nearest cent)
b. How much will the amortization period be shortened by if weekly payments of $675 are made instead of the quarterly payments? ___years ____months (Express the answer in years and months, rounded to the next payment period)
c. How much interest will be saved if the weekly payments of $675 are made instead of the quarterly payments? (Round to the nearest cent)
ANSWER ONLY IF YOU ARE CONFIDENT.
Please please answer all three subparts.
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