Monthly payment per $1,000 initially borrowed Interest rate 15-year loan 30-year loan $4.77 $7.40 4.0% 4.5% $7.65 $5.07 $7.91 $5.37 $8.17 $5.68 $8.44 $6.00 $8.71 $6.32 $8.99 $6.65 $6.99 $7.34 $7.69 $8.05 5.0% 5.5% 6.0% 6.5% 7.0% 7.5% 8.0% 8.5% 9.0% 9.5% 10.0% 10.5% 11.0% 11.5% 12.0% $9.27 $9.56 $9.85 $10.14 $10.44 $10.75 $11.05 $11.36 $11.68 $12.01 Each question, or part of a question, is worth one point. $8.41 $8.77 $9.15 $9.52 $9.90 $10.29 On May 14, 2033, a business takes a 30-year loan of $325,000 at an annual interest rate of 10.5%. The first payment is scheduled for June 14, 2033; the final payment is scheduled for May 14, 2063. 1a) Assuming the business makes standard payments for the 30-year repayment cycle, what total amount of interest will it have been charged over the course of the loan? (Hint: your first step will be to calculate the monthly payment of the loan.) 1b) How much will the business owe immediately after making the payment on July 14, 2033? (This is the second loan payment.) Round, if necessary, to the penny.

Monthly payment per 51,000 initially borrowed Each question, or part of a question, is worth one point. On May 14, 2033, a business takes a 30-ycar loan of 5325,000 at an annual interest rate of 10.5%. The first payment is scheduled for June 14,2033 ; the final payment is scheduled for May 14, 2063. 1a) Assuming the business makes standard payments for the 30-year repayment cycle, what total amount of interest will it have been charged over the course of the loan? (Hint: your first step will be to calculate the monthly payment of the loan.) 1b) How much will the business owe immediately after making the payment on July 14, 2033? (This is the second loan payment.) Round, if necessary, to the penny