Question
Kimiko signed a mortgage requiring payments of $321.76 at the end of every month for 7 years at 6.6% compounded monthly. (a) How much was
Kimiko signed a mortgage requiring payments of $321.76 at the end of every month for 7 years at 6.6% compounded monthly.
(a) How much was the original mortgage balance?
(b) If Kimiko missed the first 10 payments, how much would she have to pay after 11 months to bring the mortgage payments up to date?
(c) How much would Kimiko have to pay after 11 months to pay off the mortgage (assuming she missed all the payments)?
(d) If the mortgage were paid off after 11 months, what would the total interest cost be? (e) How much of the total interest cost is additional interest because of the missed payments?
(Round the final answer to the nearest cent as needed. Round all intermediate values to six decimal places as needed.)
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