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Clark and Lana take a 30-year home mortgage of $125,000 at 7.6%, compounded monthly. They make their regular monthly or 5 years, then decide to pay $1300 per month. (a) Find their regular monthly payment. (Round your answer to the nearest cent.) $125000 X (b) Find the unpaid balance when they begin paying the $1300. (Round your answer to the nearest cent.) $

Clark and Lana take a 30-year home mortgage of $125,000 at 7.6%, compounded monthly. They make their regular monthly or 5 years, then decide to pay $1300 per month. (a) Find their regular monthly payment. (Round your answer to the nearest cent.) $125000 X (b) Find the unpaid balance when they begin paying the $1300. (Round your answer to the nearest cent.) $

FINANCIAL ACCOUNTING
FINANCIAL ACCOUNTING
10th Edition
ISBN:9781259964947
Author:Libby
Publisher:Libby
Chapter1: Financial Statements And Business Decisions
Section: Chapter Questions
Problem 1Q
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solve asap the question (d) with complete explanation and get upvotes
This problem is a complex financial problem that requires several skills, perhaps some from previous sections. Clark and Lana take a 30-year home mortgage of $125,000 at 7.6%, compounded monthly. They make their regular monthly payments for 5 years, then decide to pay $1300 per month. (a) Find their regular monthly payment. (Round your answer to the nearest cent.) $125000 x (b) Find the unpaid balance when they begin paying the $1300. (Round your answer to the nearest cent.) $ (c) How many payments of $1300 will it take to pay off the loan? (Round your answer to two decimal places.) monthly payments (d) How much interest will they save by paying the loan using the number of payments from part (c)? (Round your answer to the nearest cent.)
Transcribed Image Text:This problem is a complex financial problem that requires several skills, perhaps some from previous sections. Clark and Lana take a 30-year home mortgage of $125,000 at 7.6%, compounded monthly. They make their regular monthly payments for 5 years, then decide to pay $1300 per month. (a) Find their regular monthly payment. (Round your answer to the nearest cent.) $125000 x (b) Find the unpaid balance when they begin paying the $1300. (Round your answer to the nearest cent.) $ (c) How many payments of $1300 will it take to pay off the loan? (Round your answer to two decimal places.) monthly payments (d) How much interest will they save by paying the loan using the number of payments from part (c)? (Round your answer to the nearest cent.)
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