The initial monthly payment if the beginning balance is given as $ 75 , 000 and the term is given as 20 years and the index rate is 6.5 % and the margin rate is 2.5 % .

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Answer 1

Question

Chapter 13.4, Problem 39E

(a)

To determine

To calculate: The initial monthly payment if the beginning balance is given as $75,000 and the term is given as 20 years and the index rate is 6.5% and the margin rate is 2.5%.

(b)

To determine

To calculate: The monthly payment for the second adjustment period. If the second adjustment period is (20−1) that is 19 and the adjustment index rate is given as 8%. The margin rate is given as 2.5%.

(c)

To determine

To calculate: The change in monthly payment for the second adjustment period at the first adjustment. If the monthly payment for the second adjustment period is calculated as $746.36 and the initial monthly payment is calculated as $674.79.

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Answer 2

Question

Chapter 13.4, Problem 39E

(a)

To determine

To calculate: The initial monthly payment if the beginning balance is given as $75,000 and the term is given as 20 years and the index rate is 6.5% and the margin rate is 2.5%.

(b)

To determine

To calculate: The monthly payment for the second adjustment period. If the second adjustment period is (20−1) that is 19 and the adjustment index rate is given as 8%. The margin rate is given as 2.5%.

(c)

To determine

To calculate: The change in monthly payment for the second adjustment period at the first adjustment. If the monthly payment for the second adjustment period is calculated as $746.36 and the initial monthly payment is calculated as $674.79.

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Answer 3

Question

Chapter 13.4, Problem 39E

(a)

To determine

To calculate: The initial monthly payment if the beginning balance is given as $75,000 and the term is given as 20 years and the index rate is 6.5% and the margin rate is 2.5%.

(b)

To determine

To calculate: The monthly payment for the second adjustment period. If the second adjustment period is (20−1) that is 19 and the adjustment index rate is given as 8%. The margin rate is given as 2.5%.

(c)

To determine

To calculate: The change in monthly payment for the second adjustment period at the first adjustment. If the monthly payment for the second adjustment period is calculated as $746.36 and the initial monthly payment is calculated as $674.79.

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Answer 4

Question

Chapter 13.4, Problem 39E

(a)

To determine

To calculate: The initial monthly payment if the beginning balance is given as $75,000 and the term is given as 20 years and the index rate is 6.5% and the margin rate is 2.5%.

(b)

To determine

To calculate: The monthly payment for the second adjustment period. If the second adjustment period is (20−1) that is 19 and the adjustment index rate is given as 8%. The margin rate is given as 2.5%.

(c)

To determine

To calculate: The change in monthly payment for the second adjustment period at the first adjustment. If the monthly payment for the second adjustment period is calculated as $746.36 and the initial monthly payment is calculated as $674.79.

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Answer 5

Chapter 13.4, Problem 39E

(a)

To determine

To calculate: The initial monthly payment if the beginning balance is given as $75,000 and the term is given as 20 years and the index rate is 6.5% and the margin rate is 2.5%.

(b)

To determine

To calculate: The monthly payment for the second adjustment period. If the second adjustment period is (20−1) that is 19 and the adjustment index rate is given as 8%. The margin rate is given as 2.5%.

(c)

To determine

To calculate: The change in monthly payment for the second adjustment period at the first adjustment. If the monthly payment for the second adjustment period is calculated as $746.36 and the initial monthly payment is calculated as $674.79.

Answer 6

Chapter 13.4, Problem 39E

(a)

To determine

To calculate: The initial monthly payment if the beginning balance is given as $75,000 and the term is given as 20 years and the index rate is 6.5% and the margin rate is 2.5%.

Answer 7

Chapter 13.4, Problem 39E

(a)

To determine

To calculate: The initial monthly payment if the beginning balance is given as $75,000 and the term is given as 20 years and the index rate is 6.5% and the margin rate is 2.5%.

Answer 8

(b)

To determine

To calculate: The monthly payment for the second adjustment period. If the second adjustment period is (20−1) that is 19 and the adjustment index rate is given as 8%. The margin rate is given as 2.5%.

Answer 9

(b)

To determine

To calculate: The monthly payment for the second adjustment period. If the second adjustment period is (20−1) that is 19 and the adjustment index rate is given as 8%. The margin rate is given as 2.5%.

Answer 10

(c)

To determine

To calculate: The change in monthly payment for the second adjustment period at the first adjustment. If the monthly payment for the second adjustment period is calculated as $746.36 and the initial monthly payment is calculated as $674.79.

Answer 11

(c)

To determine

To calculate: The change in monthly payment for the second adjustment period at the first adjustment. If the monthly payment for the second adjustment period is calculated as $746.36 and the initial monthly payment is calculated as $674.79.

Answer 12

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Answer 13

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Answer 14

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Answer 15

Ch. 13.1 - In the following exercises, assume whenever...Ch. 13.1 - In the following exercises, assume whenever...Ch. 13.1 - In the following exercises, assume whenever...Ch. 13.1 - In the following exercises, assume whenever...Ch. 13.1 - In the following exercises, assume whenever...Ch. 13.1 - In the following exercises, assume whenever...Ch. 13.1 - Find the future value of each deposit if the...Ch. 13.1 - Find the future value of each deposit if the...Ch. 13.1 - Find the future value of each deposit if the...Ch. 13.1 - Find the future value of each deposit if the...

The initial monthly payment if the beginning balance is given as $ 75 , 000 and the term is given as 20 years and the index rate is 6.5 % and the margin rate is 2.5 % .

Solution Summary: The author explains the monthly payment to repay principal and interest on a 1,000 mortgage.

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To calculate: The initial monthly payment if the beginning balance is given as $75,000 and the term is given as 20 years and the index rate is 6.5% and the margin rate is 2.5%.

To calculate: The monthly payment for the second adjustment period. If the second adjustment period is (20−1) that is 19 and the adjustment index rate is given as 8%. The margin rate is given as 2.5%.

To calculate: The change in monthly payment for the second adjustment period at the first adjustment. If the monthly payment for the second adjustment period is calculated as $746.36 and the initial monthly payment is calculated as $674.79.

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