
Essentials Of Investments
11th Edition
ISBN: 9781260013924
Author: Bodie, Zvi, Kane, Alex, MARCUS, Alan J.
Publisher: Mcgraw-hill Education,
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Transcribed Image Text:Amortization table (mortgage principal and interest per $1,000)
Interest
Only
0.16667
0.17708
0.18750
0.19792
0.20833
021875
0.22917
0.23958
0.25000
#
Rate
2.000
2.125
2.250
2.375
2.500
2.625
2.750
2.875
3.000
3.125
0.26042
3.250
0.27083
3.375
0.28125
3.500
0.29167
3.625
0.30208
3.750
0.31250
3.875
0.32292
4.000
0.33333
4.125
0.34375
4.250
0.35417
4.375
0.36458
4.500
0.37500
4.625
0.38542
4.750 0.39583
4.875
0.40625
0.41667
0.42708
0.43750
0.44792
0.45833
0.46875
0.47917
0.48958
0.50000
0.51042
0.52083
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5.000
5.125
5.250
5.375
5.500
5.625
5.750
5.875
6.000
6.125
6.250
20 Year
15 Year
30 Year
25 Year
9.20135
5.05883
3.69619
6.43509
4.23854
9.25743
6.49281
5.11825
4.29966
3.75902
9.31374 6.55085
5.17808
4.36131 3.82246
9.37026
6.60921
5.23834
4.42348
3.88653
9.42699 6.66789
5.29903
4.48617
3.95121
9.48394
6.72689
5.36014 4.54938
4.01651
9.54110
6.78622 5.42166
4.61311 4.08241
9.59848 6.84586
5.48361
4.67735
4.14892
9.65607 6.90582
5.54598
4.74211
4.21604
9.71388 6.96609
5.60876
4.80738
4.28375
9.77190
7.02669
5.67196 4.87316 4.35206
9.83014
7.08760
5.73557 4.93945
4.42096
9.88859
7.14883
5.79960 5.00624
4.49045
9.94725
7.21037
5,86404
5.07352
4.56051
10.00612
7.27222
5.92888
5.14131
4.63116
10.06521
7.33440 5.99414
5.20959
4.70237
10.12451
7.39688 6.05980
5.27837
4.77415
10.18403
7.45968 6.12587
5.34763
4.84650
10.24375 7.52278 6.19234 5.41738 4.91940
10.30369
7.58620
6.25922
5.48761
4.99285
7.64993
6.32649 5.55832
5.06685
6.39417
5.62951 5.14140
6.46224
5.70117
5.21647
6.53070
5.29208
6.59956
5.36822
5.44487
5.52204
5.59971
5.67789
5.75656
5.83573
5.91538
5.99551
6.07611
6.15717
10 Year
10.36384
10.42420 7.71397
10.48477
7.77832
10.54556 7.84297
10.60655
7.90794
10.66776
10.72917 8.03878
10.79079
8.10465
8.17083
8.23732
8.30410
8.37118
8.43857
8.50625
8.57423
10.85263
10.91467
7.97320 6.66881
6.73844
6.80847
6.87887
6.94966
7,02084
7.09238
7.16431
7.23661
730928
10.97692
11.03938
11.10205
11.16493
11 22801
5.77330
5.84590
5.91896
5.99248
6.06645
6.14087
6.21575
6.29106
6.36682
6.44301
6.51964
6.59669
40 Year
3.02826
3.09444
3.16142
3,22921
3.29778
3.36714
3.43728
3.50818
3.57984
3.65226
3.72541
3.79930
3.87391
3.94923
4.02526
4.10198
4.17938
4.25746
4.33620
4.41559
4.49563
4.57629
4.65758
4.73947
4.82197
4.90505
4.98870
5.07293
5.15770
5.24302
5.32888
5.41525
5.50214
5.58952
567740

Transcribed Image Text:If you buy a home with less than 20% down, you will pay an additional monthly fee, PMI (private mortgage insurance), until you reach
20% equity. Keep track of when you reach 20% equity so you can request to have your PMI removed. Ken Buckmiller's home recently
appraised at $293.000. His mortgage was for $278,000 at 5% for 30 years with PMI of $259.17 per month. What is his monthly
payment plus PMI? His mortgage balance is currently $178,100. Has he reached 20% equity? (Use Table 15.1.)
Note: Round your intermediate calculations and final answer to the nearest cent.
Monthly payment
Has he reached 20% equity?
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