A family has a $105,613, 30-year mort at 6.3% compounded monthly. Find the monthly payment. Also find the unpaid balance after the following periods of time. (A) 10 year 20 years (C) 25 years
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- Halep Inc. borrowed $30,000 from Davis Bank and signed a 4-year note payable stating the interest rate was 4% compounded annually. Halep Inc. will make payments of $8,264.70 at the end of each year. Prepare an amortization table showing the principal and interest in each payment.Samuel Ames owes 20,000 to a friend. He wants to know how much he would have to pay if he paid the debt in 3 annual installments at the end of each year, which would include interest at 14%. Draw a time line for the problem. Indicate what table to use. Look up the table value and place it in a brief formula. Solve.On January 1, 2018, King Inc. borrowed $150,000 and signed a 5-year, note payable with a 10% interest rate. Each annual payment is in the amount of $39,569 and payment is due each Dec. 31. What is the journal entry on Jan. 1 to record the cash received and on Dec. 31 to record the annual payment? (You will need to prepare the first row in the amortization table to determine the amounts.)
- Compound Interest Issues You are given the following situations: 1. Thomas Petty owes a debt of 7,000 from the purchase of a boat. The debt bears 12% interest payable annually. Thomas will pay the debt and interest in 5 annual installments beginning in 1 year. Calculate the equal annual installments that will pay off the debt and interest at 12% on the unpaid balance. 2. On January 1, 2019, John Cothran offers to buy Ruth Houses used tractor and equipment for 4,000 payable in 12 equal semiannual installments which are to include payment of 10% interest on the unpaid balance and payment of a portion of the principal with the first installment to be made on January 1, 2019. Calculate the amount of each of these installments. 3. Nadine Love invests in a 60,000 annuity at 12% compounded annually on March 1, 2019. The first of 15 receipts from the annuity is payable to Love on March 1, 2029, 10 years after the annuity is purchased and on the date Love expects to retire. Calculate the amount of each of the 15 equal annual receipts. Required: Using the appropriate tables, solve each of the preceding situations.Calculating and comparing add-on and simple interest loans. Eli Nelson is borrowing 10,000 for five years at 7 percent. Payments, which are made on a monthly basis, are determined using the add-on method. a. How much total interest will Eli pay on the loan if it is held for the full five-year term? b. What are Elis monthly payments? c. How much higher are the monthly payments under the add-on method than under the simple interest method?A family has a $114,922, 30-year mortgage at 6% compounded monthly. Find the monthly payment. Also find the unpaid balance after the following periods of time. (A) 10 years (B) 20 years (C) 25 years
- A family has a $106,621 30-year mortgage at 6.6% compounded monthly. Find the monthly payment. Also, find the unpaid balance after the following periods of time a) 10 yearsb) 20 yearsc) 25 years Show equations and provide explanation for each variable. Show all calculation work afterwards.Curtis bought a condominium for $319 000 and made a down payment of $64 000. The annual interest ratefor a five-year fixed rate mortgage is 5.49%. Determine the monthly payment for a 25-year amortizationperiod.On a $600,000 home mortgage loan with a15-year term at 10.5% APR compounded monthly, compute the total payments on principal and interest overthe first six years of ownership
- For a 30-year house mortgage of $125,000 at 4.2% interest, find the following. (Round your final answers to two decimal places.) (a) the amount of the first monthly payment that goes to repay principal$ (b) the amount of the 181st month's payment (after 15 years) that goes toward payment of principalABC purchased a piece of property for $3,000,000. The loan terms require monthly payments at the beginning of each month for 15 years at an annual percentage rate of 9 percent. What is the amount of each mortgage payment?Marcel Thiessen purchased a home for $209,300 and obtained a 15-year, fixed-rate mortgage at 10% after paying a down payment of 10%. Of the first month's mortgage payment, how much is interest and how much is applied to the principal? (Round your answer to the nearest cent.)