User Account

All Pages

Calculate the maximum amount the bank will loan you

Assignment Help Accounting Basics
Reference no: EM133146035

Question - Q1. Today, you signed loan papers agreeing to borrow $4,954.85 at 12% APR compounded monthly. The loan payment is $142.33 a month. How many loan payments must you make before the loan is paid in full?

Q2. You are ready to buy a house and you have $35,000 for a down payment and closing costs. Closing costs are estimated to be 3.5% of the loan value. You have an annual salary of $50,000. The interest rate on the loan is 5.75% per year with monthly compounding for a 20-year fixed rate loan.

(a) The bank is willing to allow your monthly mortgage payment to be equal to 30% of your monthly income. Calculate the maximum amount the bank will loan you?

(b) What is the maximum amount you can offer for the house if you borrow the maximum amount found in part (a)?

Reference no: EM133146035

Questions Cloud

Critically evaluate the pros and cons of the statements : Critically evaluate pros and cons of the statements: Financial statements are useless because they are incomplete. Not all assets or liabilities are included
How much will be in the fund after five ?years : Alliance Industries sets aside ?$4600.00 at the beginning of every six months in a fund to replace equipment. How much will be in the fund after five ?years
Spillane description of distributed leadership : How can today's emergency manager leverage Spillane's description of distributed leadership?
Premise that individuals can learn to be authentic leaders : Reflect upon the premise that individuals can learn to be authentic leaders
Calculate the maximum amount the bank will loan you : The bank is willing to allow your monthly mortgage payment to be equal to 30% of your monthly income. Calculate the maximum amount the bank will loan you
Explain product performance in offering type : Explain product performance in offering type (application) of innovation.
Introducing several unique and innovation products : You have become a successful young entrepreneur after introducing several unique and innovation products. Unfortunately, lately your customer are no longer inte
Use mysql workbench to create the logical database model : Write a stored procedure that can be used to show the details of customer whose name, either in full or in part, is passed into the procedure through
Explain why there was a difference in the gain or loss : Looking at your answers in part c) and d) explain why there was a difference in the gain or loss recorded from the sale of the equipment

Reviews

Write a Review

Accounting Basics Questions & Answers

  What the key elements of the internal environment section

What are the key elements of the Internal Environment section of the model? What are the key elements of the Control portion of the model

  What special order offer price by Pennock would allow

BallCards Inc. sells baseball cards in packs of 15 in drugstores and convenience stores throughout the country. What special order offer price by Pennock allow

  Complete the six column table by entering adjustments

The following six column table for Solutions Co. includes the unadjusted trial balance as of December 31, 2013.

  What is the october cost of goods sold

Sales for the month of October amounted to $74,000. What is the October cost of goods sold

  Explain large scale shifts in report production and the name

Larrinaga-Gonzalez, You are to use Institutional Theory to explain these large scale shifts in both report production and the names being given to the reports.

  Compute the price of the bonds for these maturity dates

Kilgore Natural Gas has a $1,000 par value bond outstanding that pays 10 percent annual interest. Compute the price of the bonds for these maturity dates

  Who will claim depreciation for the Hyundai sedan

X uses the Hyundai sedan during the day in managing the business. After hours X uses the car for private purposes. Who will claim depreciation for the Hyundai

  Compute how much should be recorded as building

DEF Company bought a piece of land, Compute how much should be recorded as Land? Compute how much should be recorded as Building?

  Differentiate between a compliance audit and an operational

Differentiate between a compliance audit and an operational audit.

  Determine Xeno tax liability for the short period

Xeno Corporation was formed in 2015 and adopted a calendar year. In 2018, it switched to a fiscal year beginning April 1. Determine Xeno tax liability

  How are hazel and william to be taxed in the us

Hazel and William, wife and husband, have Country X nationality, and neither of them is a U.S. citizen. They maintain residences in both Country X and Florida.

  Effect of the sale of the land

Chelsea, who is single, purchases land for investment purposes in 2005 at a cost of $22,000. In 2010, she sells the land for $38,000. Chelsea's taxable income without considering the land sale is $85,000. What is the effect of the sale of the land..

Free Assignment Quote

Assured A++ Grade

Get guaranteed satisfaction & time on delivery in every assignment order you paid with us! We ensure premium quality solution document along with free turntin report!

Submit Assignment

Academics

Major Subjects

Majors

Get In Touch

whatsapp: +1-415-670-9521

Phone: +1-415-670-9521

Email: [email protected]

TERMS & POLICIES

HELP & SUPPORT

All rights reserved! Copyrights ©2019-2020 ExpertsMind IT Educational Pvt Ltd