A young couple buying their first home borrow $85,000 for 30 years at 7.6%, compounded monthly, and make payments of $600.16. After 2 years, they are able to make a one-time payment of $2,000 along with their 24th payment. (a) Find the unpaid balance immediately after they pay the extra $2,000 and their 24th payment. (Round your answer to the nearest cent.) $81402.32 Correct: Your answer is correct. (b) How many regular payments of $600.16 will amortize the unpaid balance from part (a)? Give the answer to one decimal point. 310.3 payments Correct: Your answer is correct. (c) How much will the remaining debt be after the number of full payment periods in part (b) is made? (Round your answer to the nearest cent.) How much extra must be included with the last full payment to pay off the debt? (Round your answer to the nearest cent.)
Contingency Table
A contingency table can be defined as the visual representation of the relationship between two or more categorical variables that can be evaluated and registered. It is a categorical version of the scatterplot, which is used to investigate the linear relationship between two variables. A contingency table is indeed a type of frequency distribution table that displays two variables at the same time.
Binomial Distribution
Binomial is an algebraic expression of the sum or the difference of two terms. Before knowing about binomial distribution, we must know about the binomial theorem.
A young couple buying their first home borrow $85,000 for 30 years at 7.6%, compounded monthly, and make payments of $600.16. After 2 years, they are able to make a one-time payment of $2,000 along with their 24th payment.
(a) Find the unpaid balance immediately after they pay the extra $2,000 and their 24th payment. (Round your answer to the nearest cent.)
$81402.32
Correct: Your answer is correct.
(b) How many regular payments of $600.16 will amortize the unpaid balance from part (a)? Give the answer to one decimal point.
310.3 payments
Correct: Your answer is correct.
(c) How much will the remaining debt be after the number of full payment periods in part (b) is made? (Round your answer to the nearest cent.)
How much extra must be included with the last full payment to pay off the debt? (Round your answer to the nearest cent.)
(d) How much will the couple pay over the life of the loan by paying the extra $2,000? (Round your answer to the nearest cent.)
$ 202633.49
Correct: Your answer is correct.
(e) How much will the couple save over the life of the loan by paying the extra $2,000? (Use your answer from part (b). Round your answer to the nearest cent.)
$ 13424.11
Correct: Your answer is correct.
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