The interest rate for the first three years of an $80,000 mortgage loan is 7.4% compounded semiannually.
Question:
a. What will be the principal balance at the end of the three-year term?
b. What will be the monthly payments if the loan is renewed at 6.8% compounded semiannually (and the original amortization period is continued)?
Fantastic news! We've Found the answer you've been seeking!
Step by Step Answer:
Answer rating: 70% (17 reviews)
a Given PMT 80000 n 12 25 300 i 742 37 c 212 i 2 1 i C 1 1037 1 00...View the full answer
Answered By
Joseph Mwaura
I have been teaching college students in various subjects for 9 years now. Besides, I have been tutoring online with several tutoring companies from 2010 to date. The 9 years of experience as a tutor has enabled me to develop multiple tutoring skills and see thousands of students excel in their education and in life after school which gives me much pleasure. I have assisted students in essay writing and in doing academic research and this has helped me be well versed with the various writing styles such as APA, MLA, Chicago/ Turabian, Harvard. I am always ready to handle work at any hour and in any way as students specify. In my tutoring journey, excellence has always been my guiding standard.
4.00+
1+ Reviews
10+ Question Solved
Related Book For
Question Posted:
Students also viewed these Accounting questions
-
The interest rate for the first five years of a $27,000 mortgage loan was 7.25% compounded semiannually. The monthly payments computed for a 10-year amortization were rounded to the next higher $10....
-
The interest rate for the first five years of a $120,000 mortgage is 7% compounded semiannually. Monthly payments are based on a 25-year amortization. If a $5000 prepayment is made at the end of the...
-
The interest rate for the first five years of a $90,000 mortgage loan is 7.25% compounded semiannually. Monthly payments are calculated using a 20-year amortization. a. What will be the principal...
-
DoorDash acquired 51% of the common stock of Wolt on December 31, 2021, for $8,100,000,000. At the date of acquisition, Wolt reported common stock with a par value of $10,000,000,000, additional...
-
List and describe some of the major factors and information sources typically used in sales forecasting.
-
In Prob. 3.24, determine the perpendicular distance from point B to wire AE. PROBLEM 3.24 The wire AE is stretched between the corners A and E of a bent plate. Knowing that the tension in the wire is...
-
1. Interactive Data Corp. hired Daniel Foley as an assistant product manager at a starting salary of $18,500. Over the next six years, Interactive steadily promoted Foley until he became Los Angeles...
-
Curtis Salter, the president of Kasimer Computer Services, needs your help. He wonders about the potential effects on the firms net income if he changes the service rate that the firm charges its...
-
Is this a lower of cost or market question and why don't I agree with the chief accountant?. The Jaecke Group, Inc. manufactures various kinds of hydraulic pumps. In June 2021, the company signed a...
-
Do the concepts of complexity and divergence apply to an online sales company such as Dell Computer?
-
The Melnyks are nearing the end of the first three-year term of a $100,000 mortgage loan with a 20-year amortization. The interest rate has been 7.7% compounded semiannually for the initial term. How...
-
The Gills have arranged a second mortgage loan with a face value of $21,500 at an interest rate of 6.5% compounded monthly. The face value is to be fully amortized by equal monthly payments over a...
-
List and briefly describe the four stages of the entrepreneurial process.
-
X QNaCl structure is shown in the unit cell given. The ionic radius of Nat is 0.97 and the ionic radius of Cl is 1.81 . a) Calculate the linear density along [100] direction by showing the direction...
-
Which of the following statements is correct regarding Avogadro's number? O Avogadro's number is the amu in one mole of a substance. O Avogadro's number is the number of moles in 6.02 x 1023 grams of...
-
Assume you are in the role of a Department Director or leader. Discuss the utility of both Financial Accounting and Managerial Accounting to your position and the decisions you will need to make?
-
Write the process necessary to create a 64-bit arithmetic shift register. In addition to the normal synchronous inputs, your register should also provide the following synchronous shift signals:...
-
Write a process that will generate a single cycle pulse every 20 clock cycles. In other words, your process should send out a single pulse every 20 clock cycles that has a pulse width equal to the...
-
In Problems 1522, the displacement d (in meters) of an object at time t (in seconds) is given. (a) Describe the motion of the object. (b) What is the maximum displacement from its rest position? (c)...
-
Suppose that the electrical potential at the point (x, y, z) is E(x, y, z) = x + y - 2z. What is the direction of the acceleration at the point (1,3,2)?
-
Scorcese Inc. is involved in a lawsuit at December 31, 2010. (a) Prepare the December 31 entry assuming it is probable that Scorcese will be liable for $900,000 as a result of this suit. (b) Prepare...
-
Buchanan Company recently was sued by a competitor for patent infringement. Attorneys have determined that it is probable that Buchanan will lose the case and that a reasonable estimate of damages to...
-
Calafs Drillers erects and places into service an off-shore oil platform on January 1, 2011, at a cost of $10,000,000. Calaf is legally required to dismantle and remove the platform at the end of its...
-
It is estimated that US companies lose what percent of their annual revenues to fraud? O b. 5% c. 10% O d. 15% a. 2%
-
Chapter 9 Question 2: Which variances require the Master (Planning) Budget to calculate? a. Total Profit Variance and Sales Volume Variance b. Total Profit Variance and All Variable Cost variances c....
-
Chapter 5 - Ratio Analysis - HW Hospitality Industry Managerial Accounting, 8 th Edition ( R . S . Schmidgall )
Study smarter with the SolutionInn App