Enter the formula in the tan shaded boxes to compute the monthly payment:

Break even is when the number of units sold, results in a net profit of -0-. Using goal seek, how many units must we sell to break even?

Price of House

250,000

Down Payment %

20%

Units Sold

10,000

Down Payment

Sales Price per Unit

$ 10

Home Loan Amount

Total Sales

Purchase price rer unit

$ 6

Annual Interest Rate

4.20%

Total Cost of Good Sold

Monthly Interest Rate

Gross Margin (Sales-Cost)

Number of Years

15

Number of Months

Administrative Costs

$ 50,000

Monthly Payment

Net profit (GM-Admin)

After you have entered the formulas, please copy and paste into the 4 boxes below:

Using Goal seeking, find the cost of the house you could buy with a $2,000 monthly payment.

Using Goal seeking, find the annual interest rate that would reduce your monthly payment to $1,450.

Using Goal seeking, find the down payment % you must pay to reduce your monthly payment to $1,250.

Using Goal seeking, find the number of years the loan would need to be to reduce your monthly payment to $1,250.