Question
You have just purchased a home and taken out a $540,000 mortgage. The mortgage has a...
You have just purchased a home and taken out a $540,000 mortgage. The mortgage has a 30-year term with monthly payments and an APR 9with semi-annual compounding) of 7.04%.
A. How much will you pay in interest, and how much will you pay in principal, during the first year ?
B. How much will you pay in interest, and how much you in pay in principal, during the the Twentieth year (i.e. between 19 and 20 years from now) ?
Homework Answers
Answer #1
I have attached the screeshot of soultion caluclated using excel formula. For interest CUMIPMT and for principal CUMPRINC.
In case of any query please leave a comment.
Not the answer you're looking for?
Similar Questions
You have just purchased a home and taken out a $450,000 mortgage. The mortgage has a...
You have just purchased a home and taken out a $450,000
mortgage. The mortgage has a 30 year term with monthly payments and
an APR of 6.88%.
a. How much will you pay in interest, and how much will you pay
in principal, during the first year?
b. How much will you pay in interest, and how much will you pay
in principal, during the 20th year (i.e., between 19 and 20 years
from now)?
You have just purchased a home and taken out a $275,000 mortgage. The mortgage has a...
You have just purchased a home and taken out a $275,000
mortgage. The mortgage has a 25-year term with monthly payments and
an APR of 3% compounding monthly. How much of your 288th payment
will be interest and how much will go toward reducing your
principal?
1.A couple has just purchased a home for $307,000.00. They will pay 20% down in cash,...
1.A couple has just purchased a home for $307,000.00. They will
pay 20% down in cash, and finance the remaining balance. The
mortgage broker has gotten them a mortgage rate of 3.60% APR with
monthly compounding. The mortgage has a term of 30 years.
What is the monthly payment on the loan?
2. A couple has just purchased a home for $307,000.00. They will
pay 20% down in cash, and finance the remaining balance. The
mortgage broker has gotten them...
You just purchased a home and agreed to a mortgage payment of $1,264 a month for...
You just purchased a home and agreed to a mortgage payment of
$1,264 a month for 30 years at 7.5 percent interest, compounded
monthly. How much interest will you pay over the life of this
mortgage assuming that you make all payments as agreed? PLEASE
INCLUDE HOW TO ENTER ON FINANCIAL CALCULATOR.
A couple has just purchased a home for $312,100.00. They will pay 20% down in cash,...
A couple has just purchased a home for $312,100.00. They will
pay 20% down in cash, and finance the remaining balance. The
mortgage broker has gotten them a mortgage rate of 5.64% APR with
monthly compounding. The mortgage has a term of 30 years.
What is the size of the loan taken out by the couple?
A couple has just purchased a home for $348,400.00. They will pay 20% down in cash,...
A couple has just purchased a home for $348,400.00. They will
pay 20% down in cash, and finance the remaining balance. The
mortgage broker has gotten them a mortgage rate of 5.04% APR with
monthly compounding. The mortgage has a term of 30 years. What is
the monthly payment on the loan?
3. You take a $500,000 mortgage to buy a vacation home. The mortgage entails equal monthly...
3. You take a $500,000 mortgage to buy a vacation home. The
mortgage entails equal monthly payments for 10 years, 120 payments
in all, with the first payment in one month. The bank charges you
an interest rate of 9.6% (APR with monthly compounding).
a. How much of your first payment is interest, and how much is
repayment of principal?
b. What is the loan balance immediately after the 10th payment?
(Calculate the loan balance using the annuity formula.)
c....
Adam Wilson just purchased a home and took out a $250,000 mortgage for 30 years at...
Adam Wilson just purchased a home and took out a $250,000
mortgage for 30 years at 8%, compounded monthly.
a. How much is Adam’s monthly mortgage payment?
b. How much sooner would Adam pay off his mortgage if he made an
additional $100 payment each month? The financial tables in
Appendix A are not sufficiently detailed to do parts (c) and
(d).
c. Assume Adam makes his normal mortgage payments and at the end
of five years, he refinances the...
purchase of your first home for $600,000. You have just purchased the house and have put...
purchase of your first home for
$600,000.
You have just purchased the house and have put a 20% down
payment, and will borrow the remaining amount. The
15-year fixed rate loan has an Annual Percentage Rate (APR) of
3.875%. You will make monthly payments for the
life of the loan.
Question 12
related to your purchase of your first home for
$600,000.
You have just purchased the house and have put a 20% down
payment, and will borrow the remaining amount. The
15-year...
1.Gary and Ann have just purchased a new home. They paid $40,000 as a down payment...
1.Gary and Ann have just purchased a new home. They
paid $40,000 as a down payment and obtained a
$200,000 mortgage to pay for the rest. The 30-year mortgage has an
interest rate of 0.5% per month. How
much will they pay each month in principal and interest? Your
answer must be correct to the nearest
penny.
2. Jerry and Katrina took out a 30-year, $360,000 mortgage on their
2800-square-foot house. The mortgage
rate is 0.4% per month so their...
ADVERTISEMENT
Need Online Homework Help?
Get Answers For Free
Most questions answered within 1 hours.
ADVERTISEMENT
Active Questions
asked 3 minutes ago
asked 7 minutes ago
asked 14 minutes ago
asked 25 minutes ago
asked 25 minutes ago
asked 25 minutes ago
asked 40 minutes ago
asked 51 minutes ago
asked 57 minutes ago
asked 1 hour ago
asked 1 hour ago
asked 1 hour ago