Question

An investor has 6 years of monthly payments of $1,400 before she has paid off her house. If the interest rate is 6% APR, what is the remaining balance on her loan?

Answer #1

A house costs $138,000. It is to be paid off in exactly ten
years, with monthly payments of $1675. What is the APR of this
loan? (Hint: calculate monthly rate first; then use APR= monthly
rate*12) Do this on excel.

Rachel purchased a $17,500 car three years ago using a 10
percent, 6-year loan. She has decided that she would sell the car
now, if she could get a price that would pay off the balance of her
loan. First calculate her monthly payments, then use those payments
and the remaining time left to compute the present value (called
balance) of the remaining loan. What is the minimum price Rachel
would need to receive for her car? (Round the loan...

The mortgage on your house is five years old. It required
monthly payments of $1,402, had an original term of 30 years, and
had an interest rate of 10%(APR). In the intervening five years,
interest rates have fallen and so you have decided to refinancethat
is, you will roll over the outstanding balance into a new
mortgage. The new mortgage has a 30-year term, requires monthly
payments, and has an interest rate of 6.625%(APR). a. What monthly
repayments will be...

The mortgage on your house is five years old. It required
monthly payments of
$1,390,
had an original term of 30 years, and had an interest rate
of
10%
(APR). In the intervening five years, interest rates have
fallen and so you have decided to
refinance—that
is, you will roll over the outstanding balance into a new
mortgage. The new mortgage has a 30-year term, requires monthly
payments, and has an interest rate of
5.625%
(APR).
a. What monthly repayments...

An engineer bought a house four years ago for $70,000. She paid
cash equal to 10% of the purchase price as the down payment. The
rest she financed with two loans. One is a company subsidized loan
of 12% for $20,000, with equal monthly payments for 20 years. The
other loan (for the remainder of the money needed) was provided by
a local bank, with an interest rate of 15%, also payable over 20
years, with uniform monthly payments.
What...

Katie plans to purchase a new car. She decides to borrow
$25,000 from her friend at 8% per year compounded monthly for 4
years. She plans to repay the loan with 48 equal monthly payments.
How much is the monthly payment?
How much interest is in the 23rd payment?
What is the remaining balance immediately after she made her
37th payment?
Later, she became able to pay off the loan at the end of the
30th month. She has not...

Person P got a house for $200,000 and made a $60,000
down payment. He obtained a 30 - year loan for the remaining
amount. Payments were made monthly. The nominal annual interest
rate was 6%. After 10 years (120 payments) he sold the house and
paid off the loan’s remaining balance.
(a) What was his monthly loan payment?
(b) What must he have paid (in addition to his regular 120th
monthly payment) to pay off the loan?

Consider a 30‐year mortgage on at $400,000 house that requires
monthly payments and has an interest rate (APR) of 8% per year. You
have $ 50,000 in cash that you can use as a down payment on the
house, but you need to borrow the rest of the purchase
price.
a) What will your monthly payments be if you sign up for this
mortgage?
b) Suppose you sell the house after 10 years. How much will you
need to pay...

A truck costing $112,000 is paid off in monthly installments
over four years with 7.5% APR. After three years the owner wishes
to sell the truck. What is the amount he needs to pay on his loan
before he can sell the truck?

1) Ann is looking for a fully amortizing 30 year Fixed Rate
Mortgage with monthly payments for $4,500,000.
Mortgage A has a 4.38% interest rate and requires Ann to pay 1.5
points upfront.
Mortgage B has a 6% interest rate and requires Ann to pay zero
fees upfront.
Assuming Ann makes payments for 2 years before she sells the
house and pays the bank the balance, what is Ann’s annualized IRR
from mortgage A?
2)Ann is looking for a fully...

ADVERTISEMENT

Get Answers For Free

Most questions answered within 1 hours.

ADVERTISEMENT

asked 2 minutes ago

asked 3 minutes ago

asked 7 minutes ago

asked 13 minutes ago

asked 13 minutes ago

asked 19 minutes ago

asked 19 minutes ago

asked 21 minutes ago

asked 21 minutes ago

asked 23 minutes ago

asked 24 minutes ago

asked 24 minutes ago