Sally wishes to buy a new home. She has saved up $30,000 for a downpayment. She can obtain a 15 year mortgage for 7% and can afford a monthly payment of $1250. To determine the value of of home she can afford using the PV formula in excel what would the value to enter as the FV input?

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
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What is the maximum loan that Sally can afford?
169,104.5541
What is the TOTAL estimated house that Sally could afford?
199,104.5541
Transcribed Image Text:What is the maximum loan that Sally can afford? 169,104.5541 What is the TOTAL estimated house that Sally could afford? 199,104.5541
Sally wishes to buy a new home. She has saved up $30,000 for a downpayment.
She can obtain a 15 year mortgage for 7% and can afford a monthly payment of
$1250.
To determine the value of of home she can afford using the PV formula in excel
what would the value to enter as the FV input?
109,104.5541
Transcribed Image Text:Sally wishes to buy a new home. She has saved up $30,000 for a downpayment. She can obtain a 15 year mortgage for 7% and can afford a monthly payment of $1250. To determine the value of of home she can afford using the PV formula in excel what would the value to enter as the FV input? 109,104.5541
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