2. 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. a. Using Excel (FORMULA) , calculate monthly payments. b. Using Excel (FORMULA), calculate equity they have in their house (that is, what is the sum of the down payment and amount paid on the loan) after 20 years? c. Using Excel (FORMULA), populate the following amortization table:
2. 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. a. Using Excel (FORMULA) , calculate monthly payments. b. Using Excel (FORMULA), calculate equity they have in their house (that is, what is the sum of the down payment and amount paid on the loan) after 20 years? c. Using Excel (FORMULA), populate the following amortization table:
Financial Accounting: The Impact on Decision Makers
10th Edition
ISBN:9781305654174
Author:Gary A. Porter, Curtis L. Norton
Publisher:Gary A. Porter, Curtis L. Norton
Chapter9: Current Liabilities, Contingencies, And The Time Value Of Money
Section: Chapter Questions
Problem 9.19E
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2. 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.
a. Using Excel (FORMULA) , calculate monthly payments.
b. Using Excel (FORMULA), calculate equity they have in their house (that is, what is the sum of the down payment and amount paid on the loan) after 20 years?
c. Using Excel (FORMULA), populate the following amortization table:
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