Question

You are interested in living near Biola for generations to come. You find a $1,098,888 home...

You are interested in living near Biola for generations to come. You find a $1,098,888 home near the park. Assuming you put 20% down, how much interest would you pay during month 2? Assume you receive a 30 year fixed mortgage, paid monthly, with a rate of 3.75%.

Group of answer choices $2,847.33 $2,747.22 $2,945.09 $2,993.41

Business   Finance   
0 0
Add a commentTranscribed image text
Next >

Homework Answers

Answer #1
A Total purchase Price of House 1098888
B Downpayment(20%) 219777.6
Amount Of Loan(A-B) 879110.4
Yearly Rate of Interest = 3.75%
Monthly Interest Rate = 3.75%/12
Monthly Interest Rate = 0.3125%
Interest amount = Amount of Loan * Rate of Interest
Interest amount = 879110.4*0.3125%
Interest Amount = $2747.22
Hence the Correct answer is B. $2747.22
0 0
Know the answer?
Your Answer:

Post as a guest

Your Name:

What's your source?

Earn Coins

Coins can be redeemed for fabulous gifts.

Log In

Sign Up

Not the answer you're looking for?
Ask your own homework help question
Similar Questions
You purchase a 15 room home in Georgia for $350,000. Assuming you put 10% down, how...
You purchase a 15 room home in Georgia for $350,000. Assuming you put 10% down, how much principal would you pay during month 55? Assume you receive a 30 year fixed mortgage, paid monthly, with a rate of 6.9% (use a spreadsheet to help you). Possible Answers: $1,731.78, $358.91, $320.02, $1,303.23
You are looking at a home that will cost $250,000 and are trying to decide between...
You are looking at a home that will cost $250,000 and are trying to decide between two different fixed-rate mortgages. The closing costs are the same on each loan and the lender does not charge points for either loan. One mortgage would be a fifteen (15) year mortgage and have a stated annual interest rate of 4.50%. This mortgage would require you to put down 20% of the cost of the home. The other mortgage would be a thirty (30)...
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...
This morning, you took out a loan of $216,000 to purchase a home. The interest rate...
This morning, you took out a loan of $216,000 to purchase a home. The interest rate on the 30-year mortgage is 3.75 percent and you will make monthly payment. You have decided to make additional monthly payment of $360 beginning with the first payment that will occur one month from today. By how many years will you shorten the length of time it will take you to pay off the loan? Group of answer choices 11.69 years 8.11 years 13.24...
You have purchased a home for $400,000.00 with a down payment of 20 percent. You have...
You have purchased a home for $400,000.00 with a down payment of 20 percent. You have elected to get a 15 year fixed mortgage for $320,000.00 at 2.9 percent. What is your monthly payment? Group of answer choices $2,194.50 $2,192.56 $2,743.13 $1,331.94
You have found your dream home. The selling price is OMR 220,000; you will put OMR...
You have found your dream home. The selling price is OMR 220,000; you will put OMR 50,000 down and obtain a 30-year fixed-rate mortgage at 7.5% APR compounded monthly for the balance. Assume that monthly payments begin in one month. What will each payment be?
3) Find a vacation home that you would like to own on the internet. a) Paste...
3) Find a vacation home that you would like to own on the internet. a) Paste a picture or screen shot in the box below using the "mountain" button to add the picture. The picture should include the following: i) Picture of the vacation home. ii) Sale price of the vacation home. Edit Insert Formats p b) Sale price of the vacation home = $ DO NOT TYPE COMMAS OR ANSWERS WILL BE MARKED INCORRECT c) If the loan agency...
You have found your dream home. The selling price is $300,000. You will put $60,000 as...
You have found your dream home. The selling price is $300,000. You will put $60,000 as down payment and obtain a 30-year fixed-rate mortgage loan at 4.5 percent annual interest rate for the rest. a) You are required to make an equal payment every monthfor 360 months to pay off the balance on the loan. Assume that the first payment begins in one month after you obtained the loan. What will each monthly payment be? b) If you want to...
You have just found your dream home. The selling price is $120,000. You will put $20,000...
You have just found your dream home. The selling price is $120,000. You will put $20,000 down and obtain a 30-year fixed-rate mortgage at 7.25% compounded monthly for the rest. Assume that monthly payments begin in one month. What will each payment be (rounded to the nearest dollar)? $819 $725 $682 $511 $401
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.
ADVERTISEMENT
Need Online Homework Help?

Get Answers For Free
Most questions answered within 1 hours.

Ask a Question
ADVERTISEMENT