Some banks now have biweekly mortgages (that is, with payments every other week). Compare a 20-year, $130,000 loan at 8.1% by finding the payment size and the total interest paid over the life of the loan under each of the following conditions.(Round your answers to the nearest cent.)(a) Payments are monthly, and the rate is 8.1%, compounded monthly.payment size $total interest $(b) Payments are biweekly, and the rate is 8.1%, compounded biweekly. (Assume a standard 52-week year.)payment size $total interest$

Mortgages are a classic case of the present value of an ordinary annuity.The PV of an ordinary…

Answered: ortgages is, with payment (Round your…

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

See similar textbooks

Similar questions

Determine the monthly payment for the installment loan. Annual Number of Percentage Amount Financed (P) Rate (r) Payments per Time in Year (n) Years (t) $800 6% 12 1 Click the icon to view the partial APR table. The monthly payment is $. (Round to the nearest cent as needed.)
The stated interest rate on your account is 5.6%, interest paid quarterly. Your effective rate of interest (APY) will be: (Keep 4 decimal places)
Show complete solution If the account earns an interest rate of 24% compounded monthly, Find the effective rate of interest per? a. Compounded Daily (360 Days) b. Compounded Daily (365 Days) c. Compounded Weekly d. Compounded Monthly e. Compounded Quarterly f. Compounded Semi-Annually g. Compounded Annually
Find i (the rate per period) and n (the number of periods) for the following loan at the given annual rate. Monthly payments at $291.40 are made for 8 years to repay a loan at 6.8% compounded monthly. (Type an integer or decimal rounded to four decimal places as needed.) Find i (the rate per period) and n (the number of periods) for the following loan at the given annual rate.
A loan of $7000.00 is repaid by payments of $450 at the end of every three months. Interest is 6% compounded quarterly. a) The number of payments is ________. b) The size of the final payment is $__________. (round answer to nearest cent)
Find the simple interest. (The rate is an annual rate unless otherwise noted. Assume 360 days in a year.) p=$200, r=4%, t=5 years A. $10 B. $40 C. $160 D. $4
show your work and don't copy
ANNUITY DUE: (please DON’T use excel) A sala set is bought for P2,500 down payment and P750 payable at the beginning of each month for 36 months. What is the equivalent cash price of the set. If the interest rate is 4% compounded monthly?
If the interest earned by a savings account paying an APR of 1% is compounded quarterly, what percent of the current balance is added to the account as interest every three months during the year? What about for 4%, 5%, and 7%? (Enter an exact answer and use decimals if needed.) percent of current balance added as interest for 1% APR: percent of current balance added as interest for 4% APR: percent of current balance added as interest for 5% APR: percent of current balance added as interest for 7% APR: 28
A $23,970 loan is to be settled by making payments of $6,999 at the end of every six months. The interest is 7.58% compounded monthly. a) Find the number of payments in the term. N = b) Fill in the missing values of the amortization schedule below. Round off your answers to two decimal places. Enter a positive value for all answers. Payment Number 0 1 2 3 4 Payment Amount ($) PMT FA A A A Interest Portion ($) INT FA A $ Principal Portion ($) PRN $ A $ Loan Balance ($) BAL A A $23,970

Recommended textbooks for you

Essentials Of Investments

Finance

ISBN:

9781260013924

Author:

Bodie, Zvi, Kane, Alex, MARCUS, Alan J.

Publisher:

Mcgraw-hill Education,

FUNDAMENTALS OF CORPORATE FINANCE

Finance

ISBN:

9781260013962

Author:

BREALEY

Publisher:

RENT MCG

Financial Management: Theory & Practice

Finance

ISBN:

9781337909730

Author:

Brigham

Publisher:

Cengage

Essentials Of Investments

Finance

ISBN:

9781260013924

Author:

Bodie, Zvi, Kane, Alex, MARCUS, Alan J.

Publisher:

Mcgraw-hill Education,

FUNDAMENTALS OF CORPORATE FINANCE

Finance

ISBN:

9781260013962

Author:

BREALEY

Publisher:

RENT MCG

Financial Management: Theory & Practice

Finance

ISBN:

9781337909730

Author:

Brigham

Publisher:

Cengage

Foundations Of Finance

Finance

ISBN:

9780134897264

Author:

KEOWN, Arthur J., Martin, John D., PETTY, J. William

Publisher:

Pearson,

Fundamentals of Financial Management (MindTap Cou…

Finance

ISBN:

9781337395250

Author:

Eugene F. Brigham, Joel F. Houston

Publisher:

Cengage Learning

Corporate Finance (The Mcgraw-hill/Irwin Series i…

Finance

ISBN:

9780077861759

Author:

Stephen A. Ross Franco Modigliani Professor of Financial Economics Professor, Randolph W Westerfield Robert R. Dockson Deans Chair in Bus. Admin., Jeffrey Jaffe, Bradford D Jordan Professor

Publisher:

McGraw-Hill Education

SEE MORE TEXTBOOKS