You are financing a new home. The loan is for $268,000 and you are getting rate of 4.9% per year compounded monthly. You have decided on a 15-year mortgage and will make monthly payments ( end of the month). You will pay 6% down. To get the ball rolling, you are working extra hours and expect to pay an extra $375 per month to knock down the principle. You make these payments for 6 years starting on month 25. The last EXTRA payment is on month 96. Build the amortization table. What month will you make your last payment? How much will the last payment be?
You are financing a new home. The loan is for $268,000 and you are getting rate of 4.9% per year compounded monthly. You have decided on a 15-year mortgage and will make monthly payments ( end of the month). You will pay 6% down. To get the ball rolling, you are working extra hours and expect to pay an extra $375 per month to knock down the principle. You make these payments for 6 years starting on month 25. The last EXTRA payment is on month 96. Build the amortization table. What month will you make your last payment? How much will the last payment 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
Related questions
Question
None
Transcribed Image Text:You are financing a new home. The
loan is for $268,000 and you are
getting rate of 4.9% per year
compounded monthly. You have
decided on a 15-year mortgage
and will make monthly payments (
end of the month). You will pay 6%
down. To get the ball rolling, you are
working extra hours and expect to
pay an extra $375 per month to
knock down the principle. You make
these payments for 6 years starting
on month 25. The last EXTRA
payment is on month 96. Build the
amortization table. What month will
you make your last payment? How
much will the last payment be?
Expert Solution
This question has been solved!
Explore an expertly crafted, step-by-step solution for a thorough understanding of key concepts.
This is a popular solution!
Trending now
This is a popular solution!
Step by step
Solved in 2 steps
Recommended textbooks for you
Essentials Of Investments
Finance
ISBN:
9781260013924
Author:
Bodie, Zvi, Kane, Alex, MARCUS, Alan J.
Publisher:
Mcgraw-hill Education,
Essentials Of Investments
Finance
ISBN:
9781260013924
Author:
Bodie, Zvi, Kane, Alex, MARCUS, Alan J.
Publisher:
Mcgraw-hill Education,
Foundations Of Finance
Finance
ISBN:
9780134897264
Author:
KEOWN, Arthur J., Martin, John D., PETTY, J. William
Publisher:
Pearson,
Fundamentals of Financial Management (MindTap Cou…
Finance
ISBN:
9781337395250
Author:
Eugene F. Brigham, Joel F. Houston
Publisher:
Cengage Learning
Corporate Finance (The Mcgraw-hill/Irwin Series i…
Finance
ISBN:
9780077861759
Author:
Stephen A. Ross Franco Modigliani Professor of Financial Economics Professor, Randolph W Westerfield Robert R. Dockson Deans Chair in Bus. Admin., Jeffrey Jaffe, Bradford D Jordan Professor
Publisher:
McGraw-Hill Education