Question 1:

You purchase a plot of land worth $65,000 to create a community garden. To do so, you secure a 20year loan, charging 9.66% APR, compounded monthly, and requiring monthly payments of $515. Round each answer to the nearest dollar. a. Assuming that you put some money down, what was your original loan amount? Original Loan Amount: $ fv b. What is the outstanding balance on your loan aer making 9 years of payments? Outstanding Balance After 9 Years: $ 9'. c. How much equity do you have in the garden after 9 years? Equity After 9 Years: $ A Four years ago, you acquired a 30year loan of $140,100, charging 6.6% annual interest, compounded monthly, and requiring monthly payments. At this time, interest rates on 20year loans have dropped to 2.2% APR, compounded monthly, and you wish to renance what you still owe with a new loan at this new rate. a. How much will you be renancing? Round your answer to the nearest dollar. Amount Renancing: $ 9', b. How much will your new monthly payment be after renancing? Round your answer to the nearest cent. New Monthly Payment: $ f