Q9. On a $45,000 4-year loan, how much less is the monthly payment if the loan is @8.4% compounded monthly rather than 9.6% compounded monthly.

Advanced Engineering Mathematics
10th Edition
ISBN:9780470458365
Author:Erwin Kreyszig
Publisher:Erwin Kreyszig
Chapter2: Second-order Linear Odes
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Q8. Bob and Mary Rodgers want to purchase a new house and feel that they can afford a
mortgage payment of $600 a month. They are able to obtain a 30-year 7.6% mortgage
(compounded monthly), but must put down 25% of the cost of the house. Assuming that they
have enough saving for the down payment, how expensive a house can they afford? Give your
answer to nearest dollar.
Q9. On a $45,000 4-year loan, how much less is the monthly payment if the loan is @8.4%
compounded monthly rather than 9.6% compounded monthly.
Transcribed Image Text:Q8. Bob and Mary Rodgers want to purchase a new house and feel that they can afford a mortgage payment of $600 a month. They are able to obtain a 30-year 7.6% mortgage (compounded monthly), but must put down 25% of the cost of the house. Assuming that they have enough saving for the down payment, how expensive a house can they afford? Give your answer to nearest dollar. Q9. On a $45,000 4-year loan, how much less is the monthly payment if the loan is @8.4% compounded monthly rather than 9.6% compounded monthly.
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