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When you payoff your mortgage in four years, how much will that lump sum payment be for Mortgage A? Be sure to use the rounded

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When you payoff your mortgage in four years, how much will that lump sum payment be for Mortgage A? Be sure to use the rounded mortcace davment in this calculation. QUESTION 5 When you pay off your mortgage in four years, how much will that lump sum payment be for Mortgage B? Be sure to use the rounded mortanoe navment in this calculation. When obtaining a mortgage, one choice you make is whether to pay points in exchange for a lower interest rate. This homework asks you to work through the math to decide whether to do so. Scenario Dotalls: - Arrount of mortgage: $500,000 - Other closing costs: $6,500 - Length of mortgage: 30 years - Mortgage intorest compounds morthly, and payments are monthly - Expecled duration of residence: 4 years Mortgage Options: - Mortgage A Interest rate: 7.5% - Pointsir 0 - Mortgege 8 Interest rate; 7.0% Pors. - Points: 2 Further instructions: - Round all answers to two decimal places - Pay affention to negabve signs. - Do not include dollar signs (5). When you payoff your mortgage in four years, how much will that lump sum payment be for Mortgage A? Be sure to use the rounded mortcace davment in this calculation. QUESTION 5 When you pay off your mortgage in four years, how much will that lump sum payment be for Mortgage B? Be sure to use the rounded mortanoe navment in this calculation. When obtaining a mortgage, one choice you make is whether to pay points in exchange for a lower interest rate. This homework asks you to work through the math to decide whether to do so. Scenario Dotalls: - Arrount of mortgage: $500,000 - Other closing costs: $6,500 - Length of mortgage: 30 years - Mortgage intorest compounds morthly, and payments are monthly - Expecled duration of residence: 4 years Mortgage Options: - Mortgage A Interest rate: 7.5% - Pointsir 0 - Mortgege 8 Interest rate; 7.0% Pors. - Points: 2 Further instructions: - Round all answers to two decimal places - Pay affention to negabve signs. - Do not include dollar signs

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