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Montano1993 [528]
3 years ago
6

4. You want to take out a fully-amortizing 30-year mortgage. You can afford monthly payments of $600 each. The interest rate is

9%. How much money can you borrow?
Business
1 answer:
iragen [17]3 years ago
3 0

Answer: $74569

Explanation:

Based on the information given in the question, the amount that can be borrowed is explained below:

Present value of annuity will e calculated as:

= 600 × [1-(1+0.09/12)^-(12 ×30)] / (0.09/12)

= 600 × [1-(1+0.0075)^-(360)] / 0.0075

= 600 × 1-(1.0075)^-(360)] / 0.0075

= 600 × [1-0.0678860074] / 0.0075

= 600 × 124.282

= 74569

The amount that can be borrowed is $74569

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Ramort Company reports the following cost data for its single product. The company regularly sells 21,500 units of its product a
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3 years ago
s has decided that he wants to build enough retirement wealth that, if invested at 7 percent per year, will provide him with $3,
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Answer:

Annual deposit= $26,344.36

Explanation:

Giving the following information:

The interest rate is 7 percent per year.

He wants to have enough money to provide him with $3,000 of monthly income for 30 years. To date, he has saved nothing, but he still has 20 years until he retires.

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