Katie planned to buy a house but could afford to pay only $8.500 at the end of every 6 months for a mortgage with an interest rate of 4.90% compounded semi-annually for 30 years. She paid $21,500 as a down payment. a. What was the maximum amount she could afford to pay for a house? lound to the dearest cen b. What was her total investment through the mortgage period inot taking the time velue of money into account)

Katie planned to buy a house but could afford to pay only $8.500 at the end of every 6 months for a mortgage with an interest rate of 4.90% compounded semi-annually for 30 years. She paid $21,500 as a down payment. a. What was the maximum amount she could afford to pay for a house? lound to the dearest cen b. What was her total investment through the mortgage period inot taking the time velue of money into account)

FINANCIAL ACCOUNTING

10th Edition

ISBN:9781259964947

Author:Libby

Publisher:Libby

Chapter1: Financial Statements And Business Decisions

Section: Chapter Questions

Problem 1Q

See similar textbooks

Similar questions

Your grandmother bought an annuity from Great-West Life Insurance Company for $361,220 when she retired. In exchange for the $361,220, Great-West will pay her $30,000 per year until she dies The interest rate is 6%. How long must she live after the day she retired to come out ahead (that is, to get more in value than what she paid in? -CHED She must live at least years. (Round up to the nearest whole year.)
A family buys a house worth $326,000. They pay a $75,000 deposit and take a mortgage for the balance at J12=9% p.a. to be amortized over 30 years with monthly payments. Find the value of the mortgage on their house? Find the value of the monthly payment? Find the loan outstanding after making 20 payments? Find the principal repaid in the 21st payment?
Ben Brown bought a home for \$225.000 . He put down 20\% The mortgage is at 6 1 2 \% 30 years . Using the formula or calculator , his monthly payment is
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 7.9%, compounded monthly. They make their regular monthly payments for 5 years, then decide to pay $1200 per month. (a) Find their regular monthly payment. (Round your answer to the nearest cent.) (a) Find their regular monthly payment. (Round your answer to the nearest cent.) (c) How many payments of $1200 will it take to pay off the loan? Give the answer correct to two decimal places. (d) Use your answer to part (c) to find how much interest they save by paying the loan this way. (Round your answer to the nearest cent.)
Darlene Ramirez bought a home for $140,000. She put 20% down and financed the rest with a 20 year 3.5% mortgage. The total of her monthly payments for a year are: Multiple Choice $649.55 $7,794.60 $9,743.28 $9,329.61
Ms. Tamper bought a house for $180,000. She put 20% down and obtained a mortgage loan for the balance at 4 1/4% for 30 years. a. Find the monthly payment. b. Find the total interest paid.
Willie just bought a home and financed his purchase with a $1,000,000 6% 20- year mortgage. (a) What is Willie's monthly mortgage payment? (b) What will be the balance on Willie's mortgage after 12 years? 1. How did you get the monthly mortgage payment of $7,164.31? 2. How did you get the balance of $545,169.90 after 12 years?
I need help with this questions
A homeowner has five years of monthly payments of $1,100 before she has paid off her house. If the interest rate is 6% APR, what is the remaining balance on her loan? ..... A. $79,657 B. $45,518 C. $68,278 D. $56,898