il 1, the home mortgage balance was $226, 000 for the home owned by Susan Thomas. The interest rate for the loan is 8 percent. Assuming that Susan makes the April monthly mortgage payment of $1808, calculate the following: (a) The amount of interest included in the April payment (round your answer to the nearest cent). (b) The amount of the monthly mortgage payment that will be used to reduce the principal balance. (C) The new balance after Susan makes this monthly mortgage payment. (a)| Interest amount: $ (b) Principal reduction: $ (c) New bal

CONCEPTS IN FED.TAX.,2020-W/ACCESS
20th Edition
ISBN:9780357110362
Author:Murphy
Publisher:Murphy
Chapter5: Introduction To Business Expenses
Section: Chapter Questions
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On April 1, the home mortgage balance was $226, 000 for the home owned by Susan Thomas. The
interest rate for the loan is 8 percent. Assuming that Susan makes the April monthly mortgage payment of $1808, calculate the following: (a) The amount of interest included in the April payment (round your answer to the nearest cent). (b) The amount of the monthly mortgage payment that will be used to reduce the principal balance. (C) The new balance after Susan makes this monthly mortgage payment. (a)| Interest amount: $ (b) Principal reduction: $ (c) New balance: $

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