Joe Levi bought a home in Arlington, Texas, for $141,000. He put down 25% and obtained a mortgage for 30 years at 8%. What is the difference in interest cost if he had obtained a mortgage rate of 6%? (Do not round intermediate calculations. Round your answer to the nearest cent.)
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- Sally is in the business of purchasing accounts receivable last year Sally purchased an account receivable with a face value of 83,000 for 60,000. During the current year, Sally settled the account, receiving 65,000. Determine the maximum amount of the bad debt deduction for Sally for the current year.Joe Levi bought a home in Arlington, Texas, for $148,000. He put down 30% and obtained a mortgage for 30 years at 7%. What is the difference in interest cost if he had obtained a mortgage rate of 5%? (Do not round intermediate calculations. Round your answer to the nearest cent.)Joe Levi bought a home in Arlington, Texas, for $148,000. He put down 30% and obtained a mortgage for 30 years at 5%. a. What is Joe’s monthly payment? (Do not round intermediate calculations. Round your answer to the nearest cent.) b. What is the total interest cost of the loan? (Do not round intermediate calculations. Round your answer to the nearest cent.)
- Marcel Thiessen purchased a home for $205,600 and obtained a 15-year, fixed-rate mortgage at 7% 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.)Albert purchased a house for $1,500,000 fifteen years ago. He put 30% downand financed the balance by a 20-year real estate mortgage at 6%, convertiblemonthly. Albert decides to pay the remaining loan balance in full by a singlepayment together with the installment just due. Find the prepayment penalty,which is one-third of the lender’s interest loss.Harvey and Esmeralda's combined gross income is $75,000, and their monthly consumer debt is $558. They wish to purchase a new home valued at $285,000 but need to know if they qualify for a mortgage of $245,000 amortized over 20 years. The mortgage interest rate on a 5-year mortgage term is 1.89%. Property taxes are $1,800/year and the heating cost for the home is $1,200/year. What is their monthly mortgage payment? Select one: a. $1,012.43 b. $1,225.84 c. $1,142.60 d. $1,124.60 e. None of the above
- Rob, a friend of yours, has recently purchased a home for $125,000, paying $25,000 down and the remainder financed by a 10.5% twenty-year mortgage , payable at $998.38 a month. At the end of the first month, Rob receives a statement from the bank indicating that only $123.38 of principle was paid during the month. At this rate, he calculates it will take over 67 years to pay off the mortgage. Is he right? Discuss.The Bourassas decide to sell a home for $410,000. They are charged a real estate commission of 7% of the selling price, title insurance that is 1.6% of the selling price, and an escrow fee of $775. (a) What amount (in dollars) do the Bourassas receive after fees? $? (b) What percentage of the selling price was fees? Round to the nearest tenth of a percent. %?Dick Hercher bought a home in Homewood, Illinois, for $230,000. He put down 20% and obtained a mortgage for 25 years at 8%. The total interest cost of the loan is: Multiple Choice $368,000 $327,372.80 $302,554 $242,042
- Jia Ma purchased a condominium 5 years ago for $160,000, paying $1,174.75 per month on her $146,000, 9 percent, 30-year mortgage. The current loan balance is $139,985. Recently, interest rates dropped sharply, causing Jia to consider refinancing her condo at the prevailing rate of 7 percent. She expects to remain in the condo for at least 5 more years and has found a lender that will make a 7 percent, 25-year, $139,985 loan, requiring monthly payments of $989.38. Although there is no prepayment penalty on her current mortgage, Jia will have to pay $1,000 in closing costs on the new mortgage. She is in the 15 percent tax bracket. Based on this information, use the mortgage refinancing analysis form in Worksheet 5.4 to determine whether she should refinance her mortgage under the specified terms. Assume that Jia is assumed to take the standard deduction. She refinance her mortgage under the specified terms.M purchased a small lot in a subdivision, paying ₱200,000 down and promising to pay₱15,000 every 3 months for the next 10 years. The seller figured interest at 12%compounded quarterly.(a) After making 8 payments, M wished to discharge his remaining indebtedness by asingle payment at the time when the 9th regular payment was due, what must he payin addition to the regular payment then due?(b) If M missed the first 10 payments, what must he pay when the 11th payment is dueto discharge his entire indebtedness? (c) Cashflow DiagramTom Burke bought a home in Virginia for $160,000. He puts down 25% and obtains a mortgage for 30 years at 8%. What is Tom's (A) monthly payment, as well as (B) the total interest of the loan?