The interest rate for the first four years of a $33,000 mortgage loan was 3.85% compounded semiannually. The monthly payments computed for a 8-year amortization were rounded to the next higher $10. (Do not round intermediate calculations and round your final answers to 2 decimal places.) a. Calculate the principal balance at the end of the first term. Principal balance 2$ b. Upon renewal at 6.35% compounded semiannually, monthly payments were calculated for a four-year amortization and again rounded up to the next $10. What will be the amount of the last payment? Final payment 2$

The interest rate for the first four years of a $33,000 mortgage loan was 3.85% compounded semiannually. The monthly payments computed for a 8-year amortization were rounded to the next higher $10. (Do not round intermediate calculations and round your final answers to 2 decimal places.) a. Calculate the principal balance at the end of the first term. Principal balance 2$ b. Upon renewal at 6.35% compounded semiannually, monthly payments were calculated for a four-year amortization and again rounded up to the next $10. What will be the amount of the last payment? Final payment 2$

FINANCIAL ACCOUNTING

10th Edition

ISBN:9781259964947

Author:Libby

Publisher:Libby

Chapter1: Financial Statements And Business Decisions

Section: Chapter Questions

Problem 1Q

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