Correct Answers:

a)$5532.05

b)$110687.95

c)8.25%

Please show every step with detailed formulas please please

Atnan wants to buy a house costing $650,000.00. She wil make a down payment of 597,500.00 and take out a mortgage for the rest. The term of the mortgage is 5 years, and the amortization petiod is 15 years. Anan wilt make monthly payments and the mortgage rate is t [205]=8.750%. a) How much are the monthly poyments? 4 B) If Alnan wants to reduce the monthly payments to 35.400.00, how much would the down payment have to be? 1 c) If another bank offers Atnan an equivalent morigage (original down paymem, same term, amortization penod, payment perisds) but with 56,368 s6 monthly payments, what nominal irvecest rate robs are they charging? X W (Rhenember, wise 3.456 not 0.034561)