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What is the monthly mortgage payment

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Reference no: EM132799714

Mortgage She worked with a mortgage broker and agreed to take on a mortgage loan with the following terms:

Shannon and her family just bought a house in the beautiful city of Denver for $500,000.

10% down payment

15-year fixed rate loan at 4.5%

Could you help Shannon figure out monthly mortgage payment and put together the amortization schedule?

(a) What is the monthly mortgage payment?

Please enter the answer in 2 decimal places, i.e. $1122.3355, please enter 1122.34.

(b) Construct a loan amortization table.

What is the beginning balance of second month?

Please enter the answer in 2 decimal places, i.e. $112233.5566, please enter 112233.56.

(c) Construct a loan amortization table.

How much would be the payment toward principle in the second month?

Please enter the answer in 2 decimal places, i.e. $1122.3306, please enter 1122.33.

(d) Shannon plans to pay the monthly mortgage payment as calculated in question (a) for 10 years and then pay a lump sum amount at the end of year 10 to pay off the mortgage.

How much would be the balloon payment that she needs to pay at the end of year 10?

Please enter the answer in 2 decimal places, i.e. $112233.5566, please enter 112233.56,

Reference no: EM132799714

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