3. Sam and Mary purchased a two-bedroom town house for $599 000 with a 10% down payment. Themortgage is at 3.49% per year, amortized over 25 years. (Note: Mortgage is compounded semi-annuallyby law.)+a) Find Sam and Mary's down payment and mortgage amountb) Determine their monthly payment using TVMAdvanced Calculator. Show all the entries in yourc) Assume they decided to make a bi-weekly payment of $ 1500 instead of monthly. How many years would ittake for them to pay the mortgage in full using the TVM Advanced Calculatore)d) Assume Sam and Mary makes monthly payment, and the interest rate remains constant. Use the FCÁCmortgage calculator to find the total payment, the total principle paid, and the total interest paid for a 5- yearterm and complete the table? Also, find their mortgage amount after the 5-year terme) Explain why changing the payment frequency from monthly to weekly reduces the total interest paid on theloan.

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Answered: Sam and Mary purchased a two-bedroom…

EBK CFIN

6th Edition

ISBN:9781337671743

Author:BESLEY

Publisher:BESLEY

Chapter4: Time Value Of Money

Section: Chapter Questions

Problem 25PROB

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PLEASE TYPE IT AND NOT HANDWRITTEN A couple purchased a house and lot and signed a mortgage contract with a bank for P8,000,000 to be paid in equal monthly payments over 25 years with interest at 5.25%. Find the monthly payment and make out a partial amortization schedule showing the distribution of the first 6 payments as to interest and repayment of principal.
Mr. and Mrs. Smith have just purchased a $600,000 house and have made a down payment of$120,000. They can amortize the balance at 4% for 30 years. Using Excel, populate the following amortization table: payment number 1, 60,180,240,300,360 monthly payment principle interest amount paid on loan
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(ANSWER LETTER C ONLY AT THE BOTTOM OF THE PAGE) Michael Sanchez purchased a condominium for $94,000. He made a 20% down payment and financed the balance with a 30 year, 5% fixed-rate mortgage. (Round your answers to the nearest cent. Use this table, if necessary.) (a) What is the amount (in $) of the monthly principal and interest portion, PI, of Michael's loan? -$403.69 PaymentNumber MonthlyPayment(in $) MonthlyInterest(in $) Portion Usedto ReducePrincipal(in $) LoanBalance(in $) 0 $75200 1 $403.69 $313.33 $90.36 $75,109.64 2 $403.69 $312.96 $90.73 $75,018.91 3 $403.69 $312.58 $91.11 $74,927.80 4 $403.69 $312.20 $91.49 $74,836.31 If the annual property taxes are $1,640 and the hazard insurance premium is $670 per year, what is the total monthly PITI of Michael's loan (in $)?
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