1answer.
Ask question
Login Signup
Ask question
All categories
  • English
  • Mathematics
  • Social Studies
  • Business
  • History
  • Health
  • Geography
  • Biology
  • Physics
  • Chemistry
  • Computers and Technology
  • Arts
  • World Languages
  • Spanish
  • French
  • German
  • Advanced Placement (AP)
  • SAT
  • Medicine
  • Law
  • Engineering
sergij07 [2.7K]
3 years ago
11

Vanessa bought a house for $268,500. She has a 30 year mortgage with a fixed rate of 6.25%. Vanessaâs monthly payments are $1,59

5.85. How much was Vanessaâs down payment?
a. $9,314.45
b. $16,781.25
c. $40,275.00
d. $53,040.00
Please select the best answer from the choices provided A B C D
Business
1 answer:
Musya8 [376]3 years ago
5 0

Answer:

Ans. A) $9,314.45

Explanation:

Hi, first we have to bring to present value the monthly payments to be made for 30 years (360 months). In order for this to be useful, we have to convert this annua compounded monthly rate (6.25%) to an effective rate, that is 6.25% / 12 = 0.5208%. Now, when we find this present value, we are going to substract it from the price of the house and that is the value of the down payment. But let´s just go ahead and do it together.

We have to use this formula to bring to present value the $1,595.85 monthly payments, for 30 years (360 months) at a rate of 6.25% (0.5208% monthly).

PresentValue=\frac{A((1+r)^{n}-1) }{r(1+r)^{n} }

It should look like this

PresentValue=\frac{1,595.85((1+ 0.005208 )^{360}-1) }{0.005208(1+0.005208)^{360} }

Present Value=259,185.55

Now, let´s go ahead and find the down payment.

DownPayment=Price-PresentValue

DownPayment=268,500-259,185.55= 9,314.45

So, the answer is a). $9,314.45

Best of luck.

You might be interested in
On January 2, 2019, Twilight Hospital purchased a $96,400 special radiology scanner from Crane Inc. The scanner had a useful lif
Aneli [31]
  • The preparation of the incremental analysis of Twilight hospital is presented below:

<u>Particulars      Retain scanner    Replace scanner    Net income </u>

Annual

operating cost   $318,000            $243,000              $75,000

             ($106,000 × 3)                                        ($25,000 × 3)

New

scanner cost                                      $110,000        -$110,000

Old scanner salvage                          -$45,500        $45,500

Total                             $318,000      $307,500      $10,500

In this way, the incremental analysis should be prepared.

Learn more about the salvage value here: brainly.com/question/15711481

4 0
3 years ago
You place an order for 1,600 units of Good X at a unit price of $53. The supplier offers terms of 2/30, net 50. a-1. How long do
andre [41]

Answer:

a-1. How long do you have to pay before the account is overdue?

  • 50 days

a-2. If you take the full period, how much should you remit?

  • if you pay after the discount period (first 30 days) but before the 50th day, you must pay $84,800

b-1. What is the discount being offered?

  • 2% if you pay within 30 days

b-2. How quickly must you pay to get the discount?

  • you have up to 30 days to pay the invoice and still get the discount

b-3. If you do take the discount, how much should you remit?

  • $83,104

c-1. If you don’t take the discount, how much interest are you paying implicitly?

  • $1,696

c-2. How many days’ credit are you receiving?

  • the total credit period is 50 days

7 0
3 years ago
Who death was sadder itachi or minato or Jiraiya
trasher [3.6K]

Answer:

i would say Jiraiya

Explanation:

he was alone when ijt happen and was weak

6 0
3 years ago
Washburn Company produces earbuds. During the year, manufacturing overhead costs are estimated to be $216,000. Estimated machine
Snezhnost [94]

Answer:

1. Predetermined Overhead Rate = Manufacturing overhead costs  / Machine Hours

Predetermined Overhead Rate = $216,000/2,700 hours

Predetermined Overhead Rate = $80 per machine hour

2. Allocated overheads =Predetermined Overhead Rate * Machine hours used by Job 551

Allocated overheads = $80 * 90 machine hour

Allocated overheads = $7,200

3. Date     Description                             Debit     Credit

 15/01     Work In Progress Inventory    $7,200      

                   Manufacturing overhead                   $7,200

               (To record allocation of overheads towards Job 551)

5 0
3 years ago
Marco predicts he will have $18,750 in expenses for one year of college. He expects to receive $3,450 in grants annually. How mu
Rzqust [24]
7650 would be the ansawer 

7 0
4 years ago
Read 2 more answers
Other questions:
  • 3. What is meant by economy of scale? Why would costs be im pacted by the quantity of garment that is produced?
    11·1 answer
  • Most founders' agreements include a ________ clause, which legally obligates the departing founder to sell to the remaining foun
    11·1 answer
  • The comparison universe is not:______.
    7·1 answer
  • Problem 13-22 The injection molding department of a company uses an average of 30 gallons of special lubricant a day. The supply
    8·1 answer
  • How does a country’s GPD help you determine if it’s economy is strong or weak
    15·1 answer
  • In a situation where the investor exercises significant influence over the investee, which of the following entries is not actua
    14·1 answer
  • Explain why monopoly is uncommon in the real world
    6·1 answer
  • Which of the following was not a priority of Soviet planners?
    12·1 answer
  • What improvement tool would you use to identify all possible reasons for the increase in complaints about the HIM department
    9·1 answer
  • A company making tires for bikes is concerned about the exact width of its cyclocross tires. The company has a lower specificati
    6·1 answer
Add answer
Login
Not registered? Fast signup
Signup
Login Signup
Ask question!