You look to pay the loan back over 30 years paying 1% per month. You are taking out a mortgage for $150,000. What is the monthly payment which includes principle plus interest?

Q: Suppose you take out a 30 year mortgage for $ 200000 at 8.5% interest. The monthly payments on this…

A: Here,

Q: You're thinking about borrowing a $2000 personal loan. The interest rate on the loan is 10% with…

A: A study that proves that the future worth of the money is lower than its current value due to…

Q: You bought a house for $175,000. The bank requires a 25% down payment; it will provide a 30 year…

A: Given:

Q: You want to buy a $191,000 home. You plan to pay 15% as a down payment, and take out a 30 year loan…

A: Cost of home = $191,000Down payment = 15%Loan terms = 30 yearsInterest rate = 7%

Q: You purchase a home for $434,000 by making a down payment of 15% and financing the remaining amount…

A: First we need to use loan amortgage formula below to calculate monthly payment.  where P=Loann…

Q: Suppose you secure a $250,000 mortgage loan to be paid off over 30 years at an annual interest rate…

A: Calculator steps: I/y = rate = 7.1%/12 = 0.5916667% NPER = Number of periods = 30*12 = 360 PV =…

Q: You can afford a $850 per month mortgage payment. You've found a 30 year loan at 8% interest. a) How…

A: The present value function or concept can be used to determine the present value of a future sum or…

Q: You want to take out a $179,000 mortgage (home loan). The interest rate on the loan is 4.1 %, and…

A: After making payments for 15 years, you will still owe approximately $116,143 on your mortgage.…

Q: You've been offered a loan of $20000, which you will have to repay in 5 equal annual payments of…

A: Present Value = pv = $20,000Number of Payment = n = 5Payment = p = $6000

Q: You buy a house for $250,000 and pay $50,000 down.  The loan is for 25 years at 6% monthly. What is…

A: Interest: it is a finance cost that charged on borrowed value for specific period.

Q: You borrow $175,000; the annual loan payments are $10,120.27 for 30 years. What interest rate are…

A: Interest on a loan is the additional amount of money that a borrower has to pay back to the lender…

Q: Assume you graduate from university with a ​$24,000 student loan. If your interest rate is fixed at…

A: Families of students and students often take student loan. This is taken for the purpose of…

Q: Suppose you have a $175,000 30-year mortgage with a 4.5% interest rate on the loan. a. Find the…

A: A written agreement through which a lender gets the right to take the property that is put as a…

Q: You borrow $90,000; the annual loan payments are $12,852.25 for 30 years. What interest rate are you…

A: Interest :  It is the total amount payment on loan taken or fund borrowed by any person . it may be…

Q: Suppose that 10 years ago you bought a home for $150,000, paying 10% as a down payment, and…

A: A mortgage is a property loan given by banks to their customers for purchasing a house or other real…

Q: Suppose you take out a 30-year mortgage for $ 275000 at 8.5% interest. The monthly payments on this…

A: A written agreement through which a lender gets the right to take the property that is put as a…

Q: Suppose you take out a 30 year mortgage for $ 150000 at 6.75% interest. The monthly payments on this…

A: Time period with new monthly payments will be calculated by excel function NPER. Total interest on…

Q: What's the monthly payment on a 30 year 7% mortgage if you borrowed to buy the house for 200,000…

A: Amortization of a loan refers to the systematic and regular repayment of the loan and interest…

Q: You have just applied for a 30-year $100,000 mortgage at a rate of 10%. What must the annual payment…

A: using excel Pmt function PMT(rate,nper,pv,fv) rate =10% nper =30 pv =-100000 fv =0 compute pmt

Q: You are considering getting a mortgage for $260,000 that requires equal payments at the end of each…

A: A written agreement through which a lender gets the right to take the property that is put as a…

Q: If you borrow $2,200 and agree to repay the loan in five equal annual payments at an interest rate…

A: Loan means lending money by one or more individuals or organizations to other individuals or…

Q: You purchase a home for $438,000 by making a down payment of 15% and financing the remaining amount…

A: Monthly payment refers to the amount that is being paid every month either in the beginning or end…

Q: a) Find the monthly mortgage payment on a $170000 15-year mortgage if the interest rate on the loan…

A: . In simple words, mortgage means a home loan. When a home loan is taken from an institution then…

Q: Suppose you take out a 30 year mortgage for $ 150000 at 4% interest. The monthly payments on this…

A: Here, Mortgage Amount is $150,000 Time Period of Mortgage is 30 years Interest Rate is 4% Monthly…

Q: Suppose you intend to purchase a house worth $239,900 with a 30-year fixed rate mortgage. You have a…

A: Solution: When an amount is borrowed, it can either be repaid as a lump sum payment or in…

Q: Suppose you want to purchase a $ 210000 house. If you put 20% down and finance the rest in a 15 year…

A: Mortgage is a loan contact used to buy capital assets such as houses. In Mortgages, title of asset…

Q: Aastha wants to short 500 shares of LC at $18 a share, while Brian wants to buy 500 at the same…

A: Margin call price: It is the amount at which investors will be requested to bring back the equity to…

Q: You are considering taking out a loan of $17,000.00 that will be paid back over 5 years with monthly…

A: Here,ParticularsValuesLoan amount (PV) $ 17,000.00Term of loan 5.00Number of months in a…

Q: Suppose you take out a 30 year mortgage for $ 250000 at 9% interest. The monthly payments on this…

A: We need to used NPER function in excel

Cost of Credit

The cost of credit is an extra amount that the borrower has to pay besides the loan amount. These credit charges may vary from loan to loan. The cost of credit includes interest charges, maintenance charges, and arrangement charges. Some of the costs are mandatorily collected by the lender based on the loan amount and tenure of the loan. The cost of credit is also called finance charges of the credit.