Calculate your monthly payments on mortgage

Assignment Help Financial Management
Reference no: EM131880125

You plan to purchase an $130,000 house using a 30-year mortgage obtained from your local bank. The mortgage rate offered to you is 4.75 percent. You will make a down payment of 10 percent of the purchase price. a. Calculate your monthly payments on this mortgage. (Do not round intermediate calculations. Round your answer to 2 decimal places. (e.g., 32.16)) Monthly payment $ 610.33 b. Calculate the amount of interest and, separately, principal paid in the 240th payment. (Do not round intermediate calculations. Round your answers to 2 decimal places. (e.g., 32.16)) Amount of interest $ Amount of principal $ c. Calculate the amount of interest and, separately, principal paid in the 270th payment. (Do not round intermediate calculations. Round your answers to 2 decimal places. (e.g., 32.16)) Amount of interest $ Amount of principal $ d. Calculate the amount of interest paid over the life of this mortgage. (Do not round intermediate calculations. Round your answer to 2 decimal places. (e.g., 32.16)) Amount of interest paid $

Reference no: EM131880125

Questions Cloud

Estimate of the population mean examination score : What is the 95% confidence interval estimate of the population mean examination score if a sample of 200 applications provided a sample mean = 935.
Your budget for the current month using zero-based format : Using the format a monthly budget prepare your budget for the current month using a zero-based format
How many years will the investment double : If $18,000 is invested at 10% per year, in approximately how many years will the investment double?
What is the share price assuming constant dividends growth : What is the share price assuming constant dividends growth, and r= 20%?
Calculate your monthly payments on mortgage : Calculate your monthly payments on this mortgage. Calculate the amount of interest and, separately, principal paid in the 270th payment.
Find the accumulated value at the end of the five years : Find the accumulated value at the end of the 5 years. Find the effective annual rate of return in each of the 5 years
The device has estimated year five salvage value : The device has an estimated Year 5 salvage value of $81,000. What level of pretax cost savings do we require for this project to be profitable?
Beta and expected return : Stock Y has a beta of 1.8 and an expected return of 18.3 percent. Stock Z has a beta of 1.0 and an expected return of 11.3 percent.
Two different bonds currently outstanding : The Frush Corporation has two different bonds currently outstanding. What is the current price of Bond M and Bond N?

Reviews

Write a Review

Financial Management Questions & Answers

  Indifferent to the two forms of payment

what final payment will the bank require you to make so that it is indifferent to the two forms of payment?

  What are the projects annual cash flows in years

You must evaluate a proposed spectrometer for the R&D department. The base price is $260,000, and it would cost another $39,000 to modify the equipment for special use by the firm. The equipment falls into the MACRS 3-year class and would be sold aft..

  Computed stock price of simeon at the end of the third year

Assume the fourth year (D4) amount is $2.70. The computed stock price of Simeon at the end of the third year (P3) is $ _____.

  Explain how you will ensure customer’s requirements are met

Explain how you will ensure customer’s requirements are met? Provide a strategy. What lessons can you learn from this case study.

  Bonds and how they related to capital budgeting

Common Shares, Preferred shares and Bonds and how they related to capital budgeting.

  Surgical equipment manufacturer

St. John Medical, a surgical equipment manufacturer, has been hit hard by increased competition.

  Consider an annual coupon bond with face value

Consider an annual coupon bond with a face value of $100, 12 years to maturity, and a price of $95. The coupon rate on the bond is 4%. If you can reinvest coupons at rate of 2% per annum, then how much money do you have if you hold the bond to maturi..

  Equipment to produce cash flows

Kingston, Inc. management is considering purchasing a new machine at a cost of $4,129,832. They expect this equipment to produce cash flows of $821,407, $841,261, $853,835, $1,065,425, $1,134,239, and $1,296,663 over the next six years. If the approp..

  Quantitative amount like the dollar symbol

The currency of Ghana is called the cedi and its symbol is like that of the U.S. cent (e), but placed in front of the quantitative amount like the dollar symbol

  Find investment vehicle-yielded what annual rate per year

If you are planning to set aside $8,000 per year you would need to find an investment vehicle that yielded what annual rate per year?

  Retired from his occupation as an attorney

Matthew is 64 years old and despite being retired from his occupation as an attorney, earned $25,000 in 2015 while working as a golf instructor at a local golf course.  Based on the wage history, his annual social security benefit is projected at $31..

  What is jarrods liquidity ratio

Jarrod has $20 in his wallet, but his bank accounts are empty. What is Jarrod's liquidity ratio? What does this ratio indicate about Jarrod's financial position?

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!

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