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Need help with the second part of the question. Please show me how you did it. Research Provided Client Information - After six years of
Need help with the second part of the question. Please show me how you did it.
Research Provided Client Information - After six years of marriage, Mr. Ferrell and his wife Zooey are planning for two major purchases: a new vehicle and a new house. Complete the financial requests below and report your final answers in the technical worksheet. The following information has been provided by the client and market researchers: After taxes and medical insurance, the client has a monthly net income of $8,630 for the household. The client plans to purchase a new 2019 SUV. He expects a purchase price of $47,905. He has qualified for a 60-month auto loan at a rate of 3.2%. He will trade in his current vehicle, which is valued at $13,000, and use this money as a down payment toward the new SUV. The clients have been saving $1600 each quarter for the past six years. They also have $12,000 that they received as a wedding gift from Ricky Bobby. This was deposited into this same savings account which is earning 1.1% APR. They will use the total savings as a down payment on a house. Now that saving for a down payment is complete, the client would like to purchase a house. They believe they can afford a monthly payment up to $2,000 and plan on a mortgage with a 30- year term. The client is considering 2 houses. House A costs $479,500 and House B costs $419,900 (seller pays closing costs). Mortgage rates are currently 3.9% for a 30-year term and 3.3% for a 15-year term. Additional Information. To best maintain accuracy, round only your final answers. Payments and months are rounded to 2 decimals in calculations. Final dollar amounts should be given to the nearest cent. Your answers should match the given decimal places. 5. How much money is available as a down payment for the client's house? Be sure to include both monthly savings and gift amount. $52,456. _.81 6. Given the financial goals of the client what most expensive house that he can afford? $476,483.70| 7. Mr. Ferrell wishes to purchase the most expensive house that they can afford (assume 30-yr mortgage). Is this house A or house B?B Determine the loan amount for this house. $ 267,443.19 8. Determine the client's monthly mortgage payment for the house chosen in previous step. $ 2733 __.11 9. Determine the total interest that will be paid during the entire 30-year mortgage. $256.476.41 10. Find the balance of the home 10 years after purchase. $288. 503 .54 At this point, they have paid a total of $207,973_.20 in payments. Of that, $ _.65 was paid towards the house (reducing principal debt) and .55 towards interest. 10. Find the balance of the home 10 years after purchase. $ ZUL At this point, they have paid a total of $ 20 7 973_.20 in payments. Of that, $ .65 was paid towards the house (reducing principal debt) and .55 towards interest
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