(a) Explanation Given information: The average 30-year fixed mortgage rate in the United States in the first week of May in 2010 through 2012 in percent per year is represents as, M ( t ) = 55.9 t 2 − 0.31 t + 11.2 In the above function, t is measured in years and with t = 0 corresponding to the first week of May in 2010. Calculation: The number of year is 1 that is t = 1 for the average 30-year fixed mortgage rate in the first week of May in 2011 because from the year 2010 to 2011 there is 1 year gap (b) To determine To find: The rate of change of the 30-year fixed mortgage rate in the first week of May in 2011.

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ISBN: 9781337825597

Author: Tan

Publisher: INTER CENG

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Chapter 3.2, Problem 59E

(a)

To determine

To find: The average 30-year fixed mortgage rate in the first week of May in 2011.

(b)

To determine

To find: The rate of change of the 30-year fixed mortgage rate in the first week of May in 2011.

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Chapter 3.2, Problem 58E

Chapter 3.2, Problem 60E

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The average 30-year fixed mortgage rate in the first week of May in 2011.

Solution Summary: The author calculates the average 30-year fixed mortgage rate in the United States from the first week of May in 2010 through 2012 in percent per year. The approximate value of M(1) is 4.7.

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To find: The average 30-year fixed mortgage rate in the first week of May in 2011.

To find: The rate of change of the 30-year fixed mortgage rate in the first week of May in 2011.

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