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THE NEXT FOUR ( 4 ) QUESTIONS ARE BASED ON THE FOLLOWING INFORMATION: Jake is interested in buying a reptile shop and naming it Jake's
THE NEXT FOUR QUESTIONS ARE BASED ON THE FOLLOWING INFORMATION:
Jake is interested in buying a reptile shop and naming it Jake's Snakes. The asking price is $ However, Jake has only managed to save $ The rest of the funds will be provided by way of a $ mortgage loan at an interest rate of per annum, compounded weekly. The loan will be fully amortized over a year period with monthly payments, rounded up to the next higher $
What will be the amount of Jake's payments?
$
$
$
$
How much interest will Jake pay during the second year?
$
$
$
$
What is the amount of Jake's final payment?
$
$
$
$
On the way to the bank, Jake got into a car accident and hit his head. He forgot that he was going to sign a $ loan at per annum, compounded weekly. The next day, Jake drove to a different bank and agreed to a $ mortgage loan at a rate of per annum, compounded monthly with a year amortization, a year term, and monthly payments rounded up to the next higher dollar. What will the outstanding balance be at the end of the threeyear term?
$
$
$
$
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