You need a 30-year, fixed-rate mortgage to buy a new home for $250,000. Your mortgage bank will lend you the money at a 5.3 percent APR for this 360-month loan. However, you can only afford monthly payments of $950, so you offer to pay off any remaining loan balance at the end of the loan in the form of a single balloon payment. How large will this balloon payment have to be for you to keep your monthly payments at $950?
Unitary Method
The word “unitary” comes from the word “unit”, which means a single and complete entity. In this method, we find the value of a unit product from the given number of products, and then we solve for the other number of products.
Speed, Time, and Distance
Imagine you and 3 of your friends are planning to go to the playground at 6 in the evening. Your house is one mile away from the playground and one of your friends named Jim must start at 5 pm to reach the playground by walk. The other two friends are 3 miles away.
Profit and Loss
The amount earned or lost on the sale of one or more items is referred to as the profit or loss on that item.
Units and Measurements
Measurements and comparisons are the foundation of science and engineering. We, therefore, need rules that tell us how things are measured and compared. For these measurements and comparisons, we perform certain experiments, and we will need the experiments to set up the devices.
You need a 30-year, fixed-rate mortgage to buy a new
home for $250,000. Your mortgage bank will lend you the money at a 5.3 percent
APR for this 360-month loan. However, you can only afford monthly payments of
$950, so you offer to pay off any remaining loan balance at the end of the loan in
the form of a single balloon payment. How large will this balloon payment have to
be for you to keep your monthly payments at $950?
Trending now
This is a popular solution!
Step by step
Solved in 2 steps
