On September 1, the home mortgage balance was $159,000 for the home owned bySam Richardson. The interest rate for the loan is 6 percent.Assuming that Sam makes the September monthly mortgage payment of $1590,calculate the following:(a) The amount of interest included in the Septemberpayment (round your answer to the nearest cent).(b) The amount of the monthly mortgage payment thatwill be used to reduce the principal balance.(c) The new balance after Sam makes this monthlymortgage payment.(a) Interest amount:S(b) Principal reduction:(c) New balance:&圖回图吧An

In case or Mortgage Interest is charges on the outstanding balance. we know that Installment…

Answered: On September 1, the home mortgage…

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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On April 1, the home mortgage balance was $226, 000 for the home owned by Susan Thomas. Theinterest rate for the loan is 8 percent. Assuming that Susan makes the April monthly mortgage payment of $1808, calculate the following: (a) The amount of interest included in the April 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 Susan makes this monthly mortgage payment. (a)| Interest amount: $ (b) Principal reduction: $ (c) New balance: $
Jennifer Richards went to her credit union to borrow $5,500 at a rate of 8.11 % p.a. The date of the loan was September 7. Jennifer hoped to repay the loan on January 15. How much will Jennifer pay on January 15 if she pays off the loan on that date?
Guadalupe has a mortgage of $581,000 through her bank for property purchased. The loan is repaid by end of month payments of $3,577.53 with an interest rate of 4.53% compounded monthly over 21 years. What is the interest paid in the 2nd year of the mortgage?Interest paid in 2nd year = TVM FORMULA
Gabrielle received a loan at 6% p.a. simple interest for 8 months. If he was charged an interest of $ 272.00 at the end of the period, what was the principal amount of the loan?
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.)
You entered into a 2-year mortgage for $500,000. The mortgage has a 9 percent interest rate compounded semiannually. Loan repayment is made at the end of every three months. What will be the remaining balance on the mortgage after three years?
On January 1, 2003 Mike took out a 30-year mortgage loan in the amount of 200,000 at an annual nominal interest rate of 6% compounded monthly. The loan was to be repaid by level end-of-month payments with the first payment on January 31, 2003. Mike repaid an extra 10,000 in addition to the regular monthly payment on each December 31 in years 2003 through 2007. the Determine the date on which Mike will make his last payment (which is a drop payment). (A) July 31, 2013 (B) November 30, 2020 (C) December 31, 2020 (D) December 31, 2021 (E) January 31, 2022
Anushka and Benicio borrowed $47,000 at 7% compounded semi-annually as a second mortgage loan against their current home. Repayment amount is $9,400 at the end of every year. a. How many payments are required to repay the loan? Number of payments b. Use the given information to complete the amortization table below. Determine the missing values for the first two payment intervals, the last two payment intervals, and the totals. Report results to the nearest cent. Payment Number 0 1 2 ⠀ : N-1 N Total Amount Paid ($) 9,400.00 9,400.00 ⠀ ⠀ 9,400.00 Interest Paid ($) Principal Repaid ($) Outstanding Balance ($) 47,000.00 0.00
Connie put $7,525 into a term deposit on March 10th. The deposit earns a simple interest rate of 5%. If the term deposit will mature on July 4th, how much interest will Connie earn?
Gayle has a HELOC with MCAP Financial Corporation at an interest rate of prime +2.25%. Her current balance owing on November 1 is $13,750.00 and she is required to make interest-only payments on the first of every month. The prime rate is set at 4.25%. She makes one payment of $2,500.00 on January 19. Create three months of her repayment schedule. (Round all monetary values to the nearest penny.) (Use a minus sign before the dollar sign to denote a negative monetary value. For example, "$149.63") (Give all "Number of Days" quantities as fractions with denominator 365.) Date Balance before Transaction Annual Interest Rate Number Interest Accrued of Days Charged Interest Nov 1 Dec 1 6.5% Jan 1 6.5% Jan 19 6.5% Feb 1 6.5% Note: You can earn partial credit on this problem Preview My Answers Submit Answers Payment (+) or Advance (-) $2,500.00 Principal Balance after Amount Transaction $13,750.00 fore now version will be requested.
Kristina has a mortgage of $575,000 through her bank for property purchased. The loan is repaid by end of month payments of $4,182.71 with an interest rate of 6.96% compounded monthly over 23 years. What is the interest included in the 39th payment of the mortgage? Enter a POSITIVE VALUE rounded to two decimal places. %24
As one of the loan officers for Grove Gate Bank, calculate the monthly principal and interest, PI (in $), using this table and the monthly PITI (in $) for the mortgage. (Round dollars to the nearest cent.) Term of Loan (years) Annual Monthly PITI Amount Interest Monthly PI Property Annual Insurance Financed Rate Tax $124,700 6.75% 15 $2,370 $1,355 Prepare an amortization schedule for the first 3 payments (in $) of a $78,000 mortgage at 5% for 20 years. Use this table. (Round your answers to the nearest cent.) Payment Number Monthly Payment Monthly Interest Portion Used to Reduce Principal Loan Balance $| $| 1 24 24 2 %24 Using this table as needed, calculate the required information for the mortgage. (Round dollars to the nearest cent.) Table Monthly Payment (in $) Term Number Total Amount Interest of $1,000s Financed of Loan Factor Interest Financed Rate (years) (in $) (in $) $162,300 7.25% 15 $ $ $

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