Answered step by step
Verified Expert Solution
Question
1 Approved Answer
Score: 0 of 1 pt 4 of 4 (3 complete) HW Score: 75%, 3 of 4 pts P 5-27 (similar to) : Question Help 0
Score: 0 of 1 pt 4 of 4 (3 complete) HW Score: 75%, 3 of 4 pts P 5-27 (similar to) : Question Help 0 Oppenheimer Bank is offering a 30-year mortgage with an APR of 4.83% based on monthly compounding. With this mortgage your monthly payments would be $2,002 per month. In addition, Oppenheimer Bank offers you the following deal: Instead of making the monthly payment of $2,002 every month, you can make half the payment every two weeks (so that you will make 52/2 = 26 payments per year). With this plan, how long will it take to pay off the mortgage if the EAR of the loan is unchanged? Note: Make sure to round all intermediate calculations to at least 8 decimal places. The number of payments will be , which is approximately years. (Round to two decimal places and enter the years rounded to the nearest whole number.)
Step by Step Solution
There are 3 Steps involved in it
Step: 1
Get Instant Access to Expert-Tailored Solutions
See step-by-step solutions with expert insights and AI powered tools for academic success
Step: 2
Step: 3
Ace Your Homework with AI
Get the answers you need in no time with our AI-driven, step-by-step assistance
Get Started