Suppose that you wish to buy a new home that will cost you $452,847. You must put $80,000 down, and th offers you a 5-year 5.1% APR negative amortization loan with a payments $1,258 per month, and a balloon payment of $92,233 (your 360th payment). How much will your remaining payments be?

Suppose that you wish to buy a new home that will cost you $452,847. You must put $80,000 down, and th offers you a 5-year 5.1% APR negative amortization loan with a payments $1,258 per month, and a balloon payment of $92,233 (your 360th payment). How much will your remaining payments be?

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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Suppose that you wish to buy a new home that will cost you $452,847. You must put $80,000 down, and the bank
offers you a 5-year 5.1% APR negative amortization loan with a payments $1,258 per month, and a balloon
payment of $92,233 (your 360th payment). How much will your remaining payments be?

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