Question

1. A fixed-rate constant-payment partially-amortizing mortgage is made for $100,000 at 5% for 30 years. The balloon payment will be $50,000 at the end of year 30.

1. Calculate the monthly payment.

2. What will the total of payments be for entire 30 years? Of the total, how much will be interest?

3. What would be the outstanding balance after 5 years?

Answer 1

Sol:

a) Calculation of Monthly Payment:

b)Total payment for 30 years = $ $193,256.49

Total Interest = $93,256.49

Payment Schedule

Months	Total Mortgage Payment	Payment on Interest	Payment on Principal	Principal Balance
	$536.82	5.00%		$100,000.00
1	$536.82	$416.67	$120.15	$99,879.85
2	$536.82	$416.17	$120.66	$99,759.19
3	$536.82	$415.66	$121.16	$99,638.03
4	$536.82	$415.16	$121.66	$99,516.37
5	$536.82	$414.65	$122.17	$99,394.20
6	$536.82	$414.14	$122.68	$99,271.52
7	$536.82	$413.63	$123.19	$99,148.33
8	$536.82	$413.12	$123.70	$99,024.62
9	$536.82	$412.60	$124.22	$98,900.41
10	$536.82	$412.09	$124.74	$98,775.67
11	$536.82	$411.57	$125.26	$98,650.41
12	$536.82	$411.04	$125.78	$98,524.63
13	$536.82	$410.52	$126.30	$98,398.33
14	$536.82	$409.99	$126.83	$98,271.50
15	$536.82	$409.46	$127.36	$98,144.15
16	$536.82	$408.93	$127.89	$98,016.26
17	$536.82	$408.40	$128.42	$97,887.84
18	$536.82	$407.87	$128.96	$97,758.88
19	$536.82	$407.33	$129.49	$97,629.39
20	$536.82	$406.79	$130.03	$97,499.36
21	$536.82	$406.25	$130.57	$97,368.78
22	$536.82	$405.70	$131.12	$97,237.66
23	$536.82	$405.16	$131.66	$97,106.00
24	$536.82	$404.61	$132.21	$96,973.79
25	$536.82	$404.06	$132.76	$96,841.02
26	$536.82	$403.50	$133.32	$96,707.71
27	$536.82	$402.95	$133.87	$96,573.83
28	$536.82	$402.39	$134.43	$96,439.40
29	$536.82	$401.83	$134.99	$96,304.41
30	$536.82	$401.27	$135.55	$96,168.86
31	$536.82	$400.70	$136.12	$96,032.74
32	$536.82	$400.14	$136.69	$95,896.05
33	$536.82	$399.57	$137.25	$95,758.80
34	$536.82	$398.99	$137.83	$95,620.97
35	$536.82	$398.42	$138.40	$95,482.57
36	$536.82	$397.84	$138.98	$95,343.59
37	$536.82	$397.26	$139.56	$95,204.04
38	$536.82	$396.68	$140.14	$95,063.90
39	$536.82	$396.10	$140.72	$94,923.18
40	$536.82	$395.51	$141.31	$94,781.87
41	$536.82	$394.92	$141.90	$94,639.97
42	$536.82	$394.33	$142.49	$94,497.48
43	$536.82	$393.74	$143.08	$94,354.40
44	$536.82	$393.14	$143.68	$94,210.72
45	$536.82	$392.54	$144.28	$94,066.45
46	$536.82	$391.94	$144.88	$93,921.57
47	$536.82	$391.34	$145.48	$93,776.09
48	$536.82	$390.73	$146.09	$93,630.00
49	$536.82	$390.12	$146.70	$93,483.30
50	$536.82	$389.51	$147.31	$93,335.99
51	$536.82	$388.90	$147.92	$93,188.07
52	$536.82	$388.28	$148.54	$93,039.53
53	$536.82	$387.66	$149.16	$92,890.38
54	$536.82	$387.04	$149.78	$92,740.60
55	$536.82	$386.42	$150.40	$92,590.20
56	$536.82	$385.79	$151.03	$92,439.17
57	$536.82	$385.16	$151.66	$92,287.51
58	$536.82	$384.53	$152.29	$92,135.22
59	$536.82	$383.90	$152.92	$91,982.29
60	$536.82	$383.26	$153.56	$91,828.73
61	$536.82	$382.62	$154.20	$91,674.53
62	$536.82	$381.98	$154.84	$91,519.69
63	$536.82	$381.33	$155.49	$91,364.20
64	$536.82	$380.68	$156.14	$91,208.06
65	$536.82	$380.03	$156.79	$91,051.27
66	$536.82	$379.38	$157.44	$90,893.83
67	$536.82	$378.72	$158.10	$90,735.73
68	$536.82	$378.07	$158.76	$90,576.98
69	$536.82	$377.40	$159.42	$90,417.56
70	$536.82	$376.74	$160.08	$90,257.48
71	$536.82	$376.07	$160.75	$90,096.73
72	$536.82	$375.40	$161.42	$89,935.31
73	$536.82	$374.73	$162.09	$89,773.22
74	$536.82	$374.06	$162.77	$89,610.45
75	$536.82	$373.38	$163.44	$89,447.01
76	$536.82	$372.70	$164.13	$89,282.88
77	$536.82	$372.01	$164.81	$89,118.07
78	$536.82	$371.33	$165.50	$88,952.58
79	$536.82	$370.64	$166.19	$88,786.39
80	$536.82	$369.94	$166.88	$88,619.51
81	$536.82	$369.25	$167.57	$88,451.94
82	$536.82	$368.55	$168.27	$88,283.67
83	$536.82	$367.85	$168.97	$88,114.69
84	$536.82	$367.14	$169.68	$87,945.02
85	$536.82	$366.44	$170.38	$87,774.63
86	$536.82	$365.73	$171.09	$87,603.54
87	$536.82	$365.01	$171.81	$87,431.73
88	$536.82	$364.30	$172.52	$87,259.21
89	$536.82	$363.58	$173.24	$87,085.97
90	$536.82	$362.86	$173.96	$86,912.00
91	$536.82	$362.13	$174.69	$86,737.31
92	$536.82	$361.41	$175.42	$86,561.90
93	$536.82	$360.67	$176.15	$86,385.75
94	$536.82	$359.94	$176.88	$86,208.87
95	$536.82	$359.20	$177.62	$86,031.25
96	$536.82	$358.46	$178.36	$85,852.89
97	$536.82	$357.72	$179.10	$85,673.79
98	$536.82	$356.97	$179.85	$85,493.95
99	$536.82	$356.22	$180.60	$85,313.35
100	$536.82	$355.47	$181.35	$85,132.00
101	$536.82	$354.72	$182.10	$84,949.89
102	$536.82	$353.96	$182.86	$84,767.03
103	$536.82	$353.20	$183.63	$84,583.40
104	$536.82	$352.43	$184.39	$84,399.01
105	$536.82	$351.66	$185.16	$84,213.85
106	$536.82	$350.89	$185.93	$84,027.92
107	$536.82	$350.12	$186.71	$83,841.22
108	$536.82	$349.34	$187.48	$83,653.74
109	$536.82	$348.56	$188.26	$83,465.47
110	$536.82	$347.77	$189.05	$83,276.42
111	$536.82	$346.99	$189.84	$83,086.59
112	$536.82	$346.19	$190.63	$82,895.96
113	$536.82	$345.40	$191.42	$82,704.54
114	$536.82	$344.60	$192.22	$82,512.32
115	$536.82	$343.80	$193.02	$82,319.30
116	$536.82	$343.00	$193.82	$82,125.47
117	$536.82	$342.19	$194.63	$81,930.84
118	$536.82	$341.38	$195.44	$81,735.40
119	$536.82	$340.56	$196.26	$81,539.14
120	$536.82	$339.75	$197.08	$81,342.06
121	$536.82	$338.93	$197.90	$81,144.17
122	$536.82	$338.10	$198.72	$80,945.45
123	$536.82	$337.27	$199.55	$80,745.90
124	$536.82	$336.44	$200.38	$80,545.52
125	$536.82	$335.61	$201.22	$80,344.30
126	$536.82	$334.77	$202.05	$80,142.25
127	$536.82	$333.93	$202.90	$79,939.35
128	$536.82	$333.08	$203.74	$79,735.61
129	$536.82	$332.23	$204.59	$79,531.02
130	$536.82	$331.38	$205.44	$79,325.58
131	$536.82	$330.52	$206.30	$79,119.28
132	$536.82	$329.66	$207.16	$78,912.12
133	$536.82	$328.80	$208.02	$78,704.10
134	$536.82	$327.93	$208.89	$78,495.21
135	$536.82	$327.06	$209.76	$78,285.46
136	$536.82	$326.19	$210.63	$78,074.82
137	$536.82	$325.31	$211.51	$77,863.31
138	$536.82	$324.43	$212.39	$77,650.92
139	$536.82	$323.55	$213.28	$77,437.65
140	$536.82	$322.66	$214.16	$77,223.48
141	$536.82	$321.76	$215.06	$77,008.43
142	$536.82	$320.87	$215.95	$76,792.47
143	$536.82	$319.97	$216.85	$76,575.62
144	$536.82	$319.07	$217.76	$76,357.86
145	$536.82	$318.16	$218.66	$76,139.20
146	$536.82	$317.25	$219.57	$75,919.62
147	$536.82	$316.33	$220.49	$75,699.13
148	$536.82	$315.41	$221.41	$75,477.73
149	$536.82	$314.49	$222.33	$75,255.39
150	$536.82	$313.56	$223.26	$75,032.14
151	$536.82	$312.63	$224.19	$74,807.95
152	$536.82	$311.70	$225.12	$74,582.83
153	$536.82	$310.76	$226.06	$74,356.77
154	$536.82	$309.82	$227.00	$74,129.77
155	$536.82	$308.87	$227.95	$73,901.82
156	$536.82	$307.92	$228.90	$73,672.92
157	$536.82	$306.97	$229.85	$73,443.07
158	$536.82	$306.01	$230.81	$73,212.26
159	$536.82	$305.05	$231.77	$72,980.49
160	$536.82	$304.09	$232.74	$72,747.75
161	$536.82	$303.12	$233.71	$72,514.05
162	$536.82	$302.14	$234.68	$72,279.37
163	$536.82	$301.16	$235.66	$72,043.71
164	$536.82	$300.18	$236.64	$71,807.07
165	$536.82	$299.20	$237.63	$71,569.45
166	$536.82	$298.21	$238.62	$71,330.83
167	$536.82	$297.21	$239.61	$71,091.22
168	$536.82	$296.21	$240.61	$70,850.61
169	$536.82	$295.21	$241.61	$70,609.00
170	$536.82	$294.20	$242.62	$70,366.38
171	$536.82	$293.19	$243.63	$70,122.76
172	$536.82	$292.18	$244.64	$69,878.11
173	$536.82	$291.16	$245.66	$69,632.45
174	$536.82	$290.14	$246.69	$69,385.76
175	$536.82	$289.11	$247.71	$69,138.05
176	$536.82	$288.08	$248.75	$68,889.30
177	$536.82	$287.04	$249.78	$68,639.52
178	$536.82	$286.00	$250.82	$68,388.70
179	$536.82	$284.95	$251.87	$68,136.83
180	$536.82	$283.90	$252.92	$67,883.91
181	$536.82	$282.85	$253.97	$67,629.94
182	$536.82	$281.79	$255.03	$67,374.91
183	$536.82	$280.73	$256.09	$67,118.81
184	$536.82	$279.66	$257.16	$66,861.65
185	$536.82	$278.59	$258.23	$66,603.42
186	$536.82	$277.51	$259.31	$66,344.11
187	$536.82	$276.43	$260.39	$66,083.73
188	$536.82	$275.35	$261.47	$65,822.25
189	$536.82	$274.26	$262.56	$65,559.69
190	$536.82	$273.17	$263.66	$65,296.04
191	$536.82	$272.07	$264.75	$65,031.28
192	$536.82	$270.96	$265.86	$64,765.42
193	$536.82	$269.86	$266.97	$64,498.46
194	$536.82	$268.74	$268.08	$64,230.38
195	$536.82	$267.63	$269.20	$63,961.18
196	$536.82	$266.50	$270.32	$63,690.87
197	$536.82	$265.38	$271.44	$63,419.42
198	$536.82	$264.25	$272.57	$63,146.85
199	$536.82	$263.11	$273.71	$62,873.14
200	$536.82	$261.97	$274.85	$62,598.29
201	$536.82	$260.83	$276.00	$62,322.30
202	$536.82	$259.68	$277.15	$62,045.15
203	$536.82	$258.52	$278.30	$61,766.85
204	$536.82	$257.36	$279.46	$61,487.39
205	$536.82	$256.20	$280.62	$61,206.77
206	$536.82	$255.03	$281.79	$60,924.97
207	$536.82	$253.85	$282.97	$60,642.00
208	$536.82	$252.68	$284.15	$60,357.86
209	$536.82	$251.49	$285.33	$60,072.53
210	$536.82	$250.30	$286.52	$59,786.01
211	$536.82	$249.11	$287.71	$59,498.29
212	$536.82	$247.91	$288.91	$59,209.38
213	$536.82	$246.71	$290.12	$58,919.27
214	$536.82	$245.50	$291.32	$58,627.94
215	$536.82	$244.28	$292.54	$58,335.40
216	$536.82	$243.06	$293.76	$58,041.65
217	$536.82	$241.84	$294.98	$57,746.66
218	$536.82	$240.61	$296.21	$57,450.45
219	$536.82	$239.38	$297.44	$57,153.01
220	$536.82	$238.14	$298.68	$56,854.33
221	$536.82	$236.89	$299.93	$56,554.40
222	$536.82	$235.64	$301.18	$56,253.22
223	$536.82	$234.39	$302.43	$55,950.79
224	$536.82	$233.13	$303.69	$55,647.09
225	$536.82	$231.86	$304.96	$55,342.13
226	$536.82	$230.59	$306.23	$55,035.90
227	$536.82	$229.32	$307.51	$54,728.40
228	$536.82	$228.03	$308.79	$54,419.61
229	$536.82	$226.75	$310.07	$54,109.54
230	$536.82	$225.46	$311.37	$53,798.17
231	$536.82	$224.16	$312.66	$53,485.51
232	$536.82	$222.86	$313.97	$53,171.55
233	$536.82	$221.55	$315.27	$52,856.27
234	$536.82	$220.23	$316.59	$52,539.68
235	$536.82	$218.92	$317.91	$52,221.78
236	$536.82	$217.59	$319.23	$51,902.55
237	$536.82	$216.26	$320.56	$51,581.99
238	$536.82	$214.92	$321.90	$51,260.09
239	$536.82	$213.58	$323.24	$50,936.85
240	$536.82	$212.24	$324.58	$50,612.27
241	$536.82	$210.88	$325.94	$50,286.33
242	$536.82	$209.53	$327.30	$49,959.04
243	$536.82	$208.16	$328.66	$49,630.38
244	$536.82	$206.79	$330.03	$49,300.35
245	$536.82	$205.42	$331.40	$48,968.94
246	$536.82	$204.04	$332.78	$48,636.16
247	$536.82	$202.65	$334.17	$48,301.99
248	$536.82	$201.26	$335.56	$47,966.43
249	$536.82	$199.86	$336.96	$47,629.46
250	$536.82	$198.46	$338.37	$47,291.10
251	$536.82	$197.05	$339.78	$46,951.32
252	$536.82	$195.63	$341.19	$46,610.13
253	$536.82	$194.21	$342.61	$46,267.52
254	$536.82	$192.78	$344.04	$45,923.48
255	$536.82	$191.35	$345.47	$45,578.01
256	$536.82	$189.91	$346.91	$45,231.09
257	$536.82	$188.46	$348.36	$44,882.73
258	$536.82	$187.01	$349.81	$44,532.92
259	$536.82	$185.55	$351.27	$44,181.66
260	$536.82	$184.09	$352.73	$43,828.92
261	$536.82	$182.62	$354.20	$43,474.72
262	$536.82	$181.14	$355.68	$43,119.05
263	$536.82	$179.66	$357.16	$42,761.89
264	$536.82	$178.17	$358.65	$42,403.24
265	$536.82	$176.68	$360.14	$42,043.10
266	$536.82	$175.18	$361.64	$41,681.46
267	$536.82	$173.67	$363.15	$41,318.31
268	$536.82	$172.16	$364.66	$40,953.65
269	$536.82	$170.64	$366.18	$40,587.46
270	$536.82	$169.11	$367.71	$40,219.76
271	$536.82	$167.58	$369.24	$39,850.52
272	$536.82	$166.04	$370.78	$39,479.74
273	$536.82	$164.50	$372.32	$39,107.42
274	$536.82	$162.95	$373.87	$38,733.54
275	$536.82	$161.39	$375.43	$38,358.11
276	$536.82	$159.83	$377.00	$37,981.11
277	$536.82	$158.25	$378.57	$37,602.55
278	$536.82	$156.68	$380.14	$37,222.40
279	$536.82	$155.09	$381.73	$36,840.68
280	$536.82	$153.50	$383.32	$36,457.36
281	$536.82	$151.91	$384.92	$36,072.44
282	$536.82	$150.30	$386.52	$35,685.92
283	$536.82	$148.69	$388.13	$35,297.79
284	$536.82	$147.07	$389.75	$34,908.04
285	$536.82	$145.45	$391.37	$34,516.67
286	$536.82	$143.82	$393.00	$34,123.67
287	$536.82	$142.18	$394.64	$33,729.03
288	$536.82	$140.54	$396.28	$33,332.75
289	$536.82	$138.89	$397.94	$32,934.81
290	$536.82	$137.23	$399.59	$32,535.22
291	$536.82	$135.56	$401.26	$32,133.96
292	$536.82	$133.89	$402.93	$31,731.03
293	$536.82	$132.21	$404.61	$31,326.42
294	$536.82	$130.53	$406.29	$30,920.12
295	$536.82	$128.83	$407.99	$30,512.14
296	$536.82	$127.13	$409.69	$30,102.45
297	$536.82	$125.43	$411.39	$29,691.05
298	$536.82	$123.71	$413.11	$29,277.95
299	$536.82	$121.99	$414.83	$28,863.12
300	$536.82	$120.26	$416.56	$28,446.56
301	$536.82	$118.53	$418.29	$28,028.26
302	$536.82	$116.78	$420.04	$27,608.23
303	$536.82	$115.03	$421.79	$27,186.44
304	$536.82	$113.28	$423.54	$26,762.89
305	$536.82	$111.51	$425.31	$26,337.58
306	$536.82	$109.74	$427.08	$25,910.50
307	$536.82	$107.96	$428.86	$25,481.64
308	$536.82	$106.17	$430.65	$25,050.99
309	$536.82	$104.38	$432.44	$24,618.55
310	$536.82	$102.58	$434.24	$24,184.31
311	$536.82	$100.77	$436.05	$23,748.25
312	$536.82	$98.95	$437.87	$23,310.38
313	$536.82	$97.13	$439.70	$22,870.69
314	$536.82	$95.29	$441.53	$22,429.16
315	$536.82	$93.45	$443.37	$21,985.79
316	$536.82	$91.61	$445.21	$21,540.58
317	$536.82	$89.75	$447.07	$21,093.51
318	$536.82	$87.89	$448.93	$20,644.58
319	$536.82	$86.02	$450.80	$20,193.77
320	$536.82	$84.14	$452.68	$19,741.09
321	$536.82	$82.25	$454.57	$19,286.53
322	$536.82	$80.36	$456.46	$18,830.07
323	$536.82	$78.46	$458.36	$18,371.70
324	$536.82	$76.55	$460.27	$17,911.43
325	$536.82	$74.63	$462.19	$17,449.24
326	$536.82	$72.71	$464.12	$16,985.12
327	$536.82	$70.77	$466.05	$16,519.07
328	$536.82	$68.83	$467.99	$16,051.08
329	$536.82	$66.88	$469.94	$15,581.14
330	$536.82	$64.92	$471.90	$15,109.24
331	$536.82	$62.96	$473.87	$14,635.37
332	$536.82	$60.98	$475.84	$14,159.53
333	$536.82	$59.00	$477.82	$13,681.71
334	$536.82	$57.01	$479.81	$13,201.89
335	$536.82	$55.01	$481.81	$12,720.08
336	$536.82	$53.00	$483.82	$12,236.26
337	$536.82	$50.98	$485.84	$11,750.42
338	$536.82	$48.96	$487.86	$11,262.56
339	$536.82	$46.93	$489.89	$10,772.66
340	$536.82	$44.89	$491.94	$10,280.73
341	$536.82	$42.84	$493.99	$9,786.74
342	$536.82	$40.78	$496.04	$9,290.70
343	$536.82	$38.71	$498.11	$8,792.59
344	$536.82	$36.64	$500.19	$8,292.40
345	$536.82	$34.55	$502.27	$7,790.13
346	$536.82	$32.46	$504.36	$7,285.77
347	$536.82	$30.36	$506.46	$6,779.31
348	$536.82	$28.25	$508.57	$6,270.73
349	$536.82	$26.13	$510.69	$5,760.04
350	$536.82	$24.00	$512.82	$5,247.22
351	$536.82	$21.86	$514.96	$4,732.26
352	$536.82	$19.72	$517.10	$4,215.16
353	$536.82	$17.56	$519.26	$3,695.90
354	$536.82	$15.40	$521.42	$3,174.47
355	$536.82	$13.23	$523.59	$2,650.88
356	$536.82	$11.05	$525.78	$2,125.10
357	$536.82	$8.85	$527.97	$1,597.14
358	$536.82	$6.65	$530.17	$1,066.97
359	$536.82	$4.45	$532.38	$534.59
360	$536.82	$2.23	$534.59	$0.00
Total	$193,255.78	$93,255.78	$100,000.00

c) According to above table,

Balance after 5 years = $91,828.73