On March 1, the home mortgage balance was $250,000 for the home owned by Alice Perez. The interest rate for the loan is 8.2 percent. Assuming that Alice makes the March monthly mortgage payment of $3000, calculate the following: (a) The amount of interest included in the March payment (round your answer to the nearest cent). (b) The amount of the monthly mortgage payment that will be used to reduce the principal balance. (c) The new balance after Alice makes this monthly mortgage payment. (a) Interest amount: (b) Principal reduction: (c) New balance: $0 $0 $0

On March 1, the home mortgage balance was $250,000 for the home owned by Alice Perez. The interest rate for the loan is 8.2 percent. Assuming that Alice makes the March monthly mortgage payment of $3000, calculate the following: (a) The amount of interest included in the March payment (round your answer to the nearest cent). (b) The amount of the monthly mortgage payment that will be used to reduce the principal balance. (c) The new balance after Alice makes this monthly mortgage payment. (a) Interest amount: (b) Principal reduction: (c) New balance: $0 $0 $0

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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James has a mortgage of $92,500 at 4% for 20 years. The property taxes are $3,700 per year, and the hazard insurance premium is $764.50 per year. Find the monthly PITI payment (in $). (Round your answer to the nearest cent. Use this table as needed.)
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