How much will amanda balloon payment be in eight years

Assignment Help Finance Basics
Reference no: EM132367039

Amanda Rice has just arranged to purchase a $570,000 vacation home in the Bahamas with a 30 percent down payment. The mortgage has a 6.3 percent APR compounded monthly and calls for equal monthly payments over the next 30 years. Her first payment will be due one month from now. However, the mortgage has an eight-year balloon payment, meaning that the balance of the loan must be paid off at the end of Year 8. There were no other transaction costs or finance charges.

How much will Amanda's balloon payment be in eight years? (Do not round intermediate calculations and round your answer to 2 decimal places, e.g., 32.16.)

Reference no: EM132367039

Questions Cloud

There were no other deposits : You just found out that you have $1,593.58 in a savings account. Your uncle opened the account in your name exactly 6 years ago, and deposited
What is the total future value of investments : If the interest rate is 6%, what is the total future value of these investments two years from today?
Calculate the 2018 taxes reported on income statement : Calculate the 2018 taxes reported on the income statement. (Enter your answer in dollars. Round your answer to the nearest dollar
Nature of the purchase contract : Wansley realizes that the cash flows in Years 1 to 20 might be $30 million per year or $50 million per year, with a 50% probability
How much will amanda balloon payment be in eight years : How much will Amanda's balloon payment be in eight years? (Do not round intermediate calculations and round your answer to 2 decimal places, e.g., 32.16.)
Sale once you pay off the? mortgage : how much cash will you have from the sale once you pay off the? mortgage? ?(Note: Be careful not to round any intermediate steps to fewer than six
What must the beta of this share be : A share has an expected return of 14.3%, the risk-free rate is 3.2% and the market risk premium is 8.1%. What must the beta of this share be?
Analyzing operating expenses more specifically : What strategic insights you could get from analyzing operating expenses more specifically.
Did the lure of lucrative business opportunities : Did the lure of lucrative business opportunities persuade it to cross the line in terms of ethics and regulatory requirements

Reviews

Write a Review

Finance Basics Questions & Answers

  Financial reporting and analysis

Finance is about Gunns Ltd, a company in dealing with forestry products in Australia. The company has also been listed in Australian Stock Exchange. As many companies producing forestry products, even Gunns Ltd is facing various problems. Due to the ..

  A report on financial accounting

This report is specific for a core understanding for Financial Accounting and its relevant factors.

  Describe the types of financial ratios

Describe the types of financial ratios and other financial performance measures that are used during venture's successful life cycle.

  Differences between sole proprietorship and corporation

Briefly describe the major differences between a sole proprietorship and a corporation

  Prepare a cash budget statement

Calculate the expected value of the apartment in 20 years' time. What is the mortgage loan repayment at the beginning of each month

  What are the implied interest rates

What are the implied interest rates in Europe and the U.S.?

  State pricing theory and no-arbitrage pricing theory

State pricing theory and no-arbitrage pricing theory

  Small business administration

Identify the likely stage for each venture and describe the type of financing each venture is likely to be seeking and identify potential sources for that financing.

  Effect of financial leverage

The Effect of Financial Leverage and working capital management

  Evaluate the basis for the payment to the lender

Evaluate the basis for the payment to the lender and basis for the payment to the company-counterparty.

  Importance of opps, ipps, mpfs and dmepos

Research and discuss the differences and importance of : OPPS, IPPS, MPFS and DMEPOS.

  Time value of money

Time Value of Money project

Free Assignment Quote

Assured A++ Grade

Get guaranteed satisfaction & time on delivery in every assignment order you paid with us! We ensure premium quality solution document along with free turntin report!

All rights reserved! Copyrights ©2019-2020 ExpertsMind IT Educational Pvt Ltd