Suresh buys a house for $794,357.30 with a down payment of $72,214.30 and a mortgage for the balance. The mortgage is for 3 years, and the amortization period is 15 years. Suresh will make weekly payments and the mortgage rate is r(2) = 8.250%. %3D a) How much are the weekly payments? $ 1759.11 b) What is the outstanding balance at the end of the term of the mortgage? $ 702066.58 c) How much does Suresh still owe on the mortgage if he sells the house after 1 years? $ 766044.61
Suresh buys a house for $794,357.30 with a down payment of $72,214.30 and a mortgage for the balance. The mortgage is for 3 years, and the amortization period is 15 years. Suresh will make weekly payments and the mortgage rate is r(2) = 8.250%. %3D a) How much are the weekly payments? $ 1759.11 b) What is the outstanding balance at the end of the term of the mortgage? $ 702066.58 c) How much does Suresh still owe on the mortgage if he sells the house after 1 years? $ 766044.61
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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Transcribed Image Text:Suresh buys a house for $794,357.30 with a down payment of $72,214.30 and a
mortgage for the balance. The mortgage is for 3 years, and the amortization
period is 15 years. Suresh will make weekly payments and the mortgage rate is
r(2) = 8.250%.
%3D
a) How much are the weekly payments? $ 1759.11
b) What is the outstanding balance at the end of the term of the mortgage? $
702066.58
c) How much does Suresh still owe on the mortgage if he sells the house after 1
years? $ 766044.61
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