Question
In: Finance
Suppose you plan to purchase a $250,000 home. You plan to put 5% down, and take...
Suppose you plan to purchase a $250,000 home. You plan to put 5% down, and take a loan from the bank for the remaining amount. The bank has offered you a 30-year loan with a 4.5% APR (compounded monthly). Calculate the total interest paid to the bank in the 2nd year of the loan. (Round to 2 decimals)
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Expert Solution
SEE THE IMAGE. ANY DOUBTS, FEEL FREE TO ASK. THUMBS UP PLEASE
As nothing was mentioned excel is used.
jeff jeffy answered 9 months agoRelated Solutions
You put 20% down on a home with a purchase price of $250,000. The down payment...
You put 20% down on a home with a purchase price of $250,000.
The down payment is thus $50,000, leaving a balance owed of
$200,000. A bank will loan you this remaining balance at 3.91% APR.
You will make monthly end-of-the-period payments with a 30-year
payment schedule. What is the monthly annuity payment under this
schedule?
You are planning to purchase a house that costs $480,000. You plan to put 20% down...
You are planning to purchase a house that costs $480,000. You
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mortgage.
Use function “PMT” to calculate your mortgage payment.
Use function “PV” to calculate the loan amount given a payment
of $1700 per month. What is the most that you can borrow?
Use function “RATE” to calculate the interest rate given a
payment of $1700...
If you want to purchase a home. You have $10,000 to put down. All you can...
If you want to purchase a home. You have $10,000 to put down.
All you can afford is $1000.00 per month and you do not want to
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month and insurance $60.00 a month), what is the amount you can pay
for the house? (Show all your work)
.Q. You purchase a home for $275,000 with a 10% down payment. You take out a...
.Q. You purchase a home for $275,000 with a 10% down payment.
You take out a 30-year mortgage loan at 4.35% interest. What is the
balance remaining on the loan after the first 4 years?
Round to the nearest 0.01.
.Q. You purchase a home for $275,000 with a 10% down payment. You take out a...
.Q. You purchase a home for $275,000 with a 10% down payment.
You take out a 30-year mortgage loan at 4.35% interest. What is the
total amount of interest paid in the first 4 years? Round
to the nearest 0.01.
You are planning to purchase a condo that costs $480,000. You plan to put 20% down and borrow the remainder.
You are planning to purchase a condo that costs $480,000. You plan to put 20% down and borrow the remainder. Based on your credit score, you believe that you will pay 3.25% on a 30-year mortgage.
Use function “PV” to calculate the loan amount given a payment of $1550 per month. What is the most that you can borrow? (Be sure that PV is the amount you borrow, not the cost of the house.)
Use function “PMT” to calculate your...
Suppose that you want to purchase a home for $220,000 using a down payment as described...
Suppose that you want to purchase a home for $220,000 using a
down payment as described below and you finance the rest of the
purchase by taking out a 15-year mortgage at 4.5% interest
compounded monthly. The amount of the down payment is
$56,083. Construct an amortization table for the entire length of
the loan making sure to include columns for the payment number, the
amount of the payment, the amount of each payment that goes towards
the principal, the amount...
24.You plan on purchasing a $650,000 home. You’ll put 20% down and borrow the balance from...
24.You plan on purchasing a $650,000 home. You’ll put 20% down
and borrow the balance from Santander Bank. You borrow the money on
a 30-year loan with an APR of 6.5%. (15 points 4/3/3/3/3)
a.What is your monthly mortgage?
b. Five years later, what is the balance on the loan?
c.In the first five years, how much interest did you pay?
25.XYZ Company borrows $450,000 to purchase a piece of capital
equipment. The term of the loan is 20 years...
Suppose you decide to purchase a $150,000 home using an inheritance of $20,000 as your down...
Suppose you decide to purchase a $150,000 home using an
inheritance of $20,000 as your down payment. A down payment is
subtracted from the total cost of the home and therefore you owe
$130,000. To pay for this amount you will need a loan, so $130,000
is the principal on your loan. Suppose the interest rate on a 30
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What will your monthly payment be?
How much will you pay on the loan if you pay...
I. Suppose an apartment you want to purchase costs $500,000. You can put down 20% in...
I. Suppose an apartment you want to purchase costs $500,000. You
can put down 20% in cash and take out a 30-year fixed rate mortgage
loan for the remaining. You believe that you can get an APR of 6.5%
on such a mortgage loan at a local bank.
a. Suppose the loan calls for equal monthly payments. Please set
up a monthly amortization schedule table for the loan (Input
setting: 20%, creating and copying formulas and Excel finance
functions: 40%)....
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