You have just made an offer on a new home and are seeking a mortgage. You need to borrow $600,000. a. The bank offers a 30-year mortgage with fixed monthly payments and an interest rate of 0.5% per month. What is the amount of your monthly payment if you take this loan? b. Suppose you take the 30-year mortgage described in part (a). How much will you still owe on the mortgage after 15 years? a. The bank offers a 30-year mortgage with fixed monthly payments and an interest rate of 0.5% per month. What is the amount of your monthly payment if you take this loan? Your monthly payment will be $3597.21. (F X x That's incorrect. Note that a 30-year loan has 30 x 12 = 360 monthly payments. Here is the cash flow timeline for this problem: Period 0 1 2 359 360 Cash flow $600,000 C c We can solve for the loan payment using the formula: C= F-- PV 1 (1+r) We can also compute this result using a spreadsheet. OK You have just made an offer on a new home and are seeking a mortgage. You need to borrow $600,000. a. The bank offers a 30-year mortgage with fixed monthly payments and an interest rate of 0.5% per month. What is the amount of your monthly payment if you take this loan? b. Suppose you take the 30-year mortgage described in part (a). How much will you still owe on the mortgage after 15 years? a. The bank offers a 30-year mortgage with fixed monthly payments and an interest rate of 0.5% per month. What is the amount of your monthly payment if you take this loan? Your monthly payment will be (Round to the nearest cent.) $