Percentage of the total payments

Assignment Help Finance Basics
Reference no: EM132289021

You have just negotiated a home mortgage with a principal of ?$400,000. The? bank's quoted rate is 6.3?%. You chose a 35?-year amortization and you decide to make 12 payments per year. Each mortgage payment is ?$2,339.85. How much interest do you pay in the first? year? Express your answer as a percentage of the total value of your mortgage payments in the first year.

The interest as a percentage of the total payments in year 1 is ? answer should be rounded to four decimal places

Reference no: EM132289021

Questions Cloud

Explain the difference in the two costs : A U.S. based MNC has the following two sets of information, one for its domestic operations and one for its global operations:
What amount operating income would increase or decrease : Prepare an incremental analysis schedule to demonstrate what amount operating income would increase or decrease as a result of accepting the special order
What topic are you choosing to research further and why : What is one major takeaway you had from the text on this topic? Include at least 1 article quote in your response.
What the surrealists intended to say with their art : Focus your attention on the Surrealists-an early 20th-century group of artists who created fantastical, bizarre, and irrational art. You must explain Surrealism
Percentage of the total payments : The interest as a percentage of the total payments in year 1 is ? answer should be rounded to four decimal places
Prepare a Stockholders section of a classified balance sheet : Prepare a Stockholders' section of a classified balance sheet as of December 31, 2018 (after taking into consideration your journal entries)
What questions would you like to pursue : What are you curious about? What questions would you like to pursue? What do reasonable people who disagree think about the topic?
What is the best-case and worst-case npv figures : What is the best-case and worst-case NPV figures. (A negative answer should be indicated by a minus sign.
What was the inventory turnover ratio : Selected information for 2018 is: cost of goods sold, $6,000,000; average inventory, $2,000,000; what was the inventory turnover ratio

Reviews

Write a Review

Finance Basics Questions & Answers

  What type of information is provided by each site

Visit the following web sites: Motley's Fool, Nasdaq, and New York Stock Exchange. Answer the following questions: What type of information is provided by each.

  Which project-projects should you choose

1) To make the investment decisions, how many investment decision rules do you have for each project? Discuss briefly about each rule. 2) Which project/projects should you choose? Explain.

  Strategic issues transaction issues

Learning Activity 2: In the following case, a VRIO framework analysis is needed, display with response. Remember, we are referring to strategic issues not trans

  Describe the events that occur in an efficient market

Describe the events that occur in an efficient market in response to new information that causes the expected return to exceed the required return. What happens to the market value?

  What is the future value

What is the future value of $1,400, placed in a savings account for four years if the account pays 8.00%, compounded quarterly? (Your answer should be correct to two decimal places)

  What was the expected inflation rate last year

With the real rate at 5%, most loans were made at 10% last year. This year, interest rates have declined to 8%. What was the expected inflation rate last year?

  If you want to earn a 10 return on your investment what

you have just purchased a share of stock for 20.nbsp the company is expected to pay a dividend of 0.50 per share in

  What is the current price of the bond

If the yield to maturity is 8.1 percent, what is the current price of the bond? (Do not round intermediate calculations and round your final answer to 2 decimal places. (e.g., 32.16)) SHOW your work!!

  How much will investment be worth at each bank

Calculating Future Values. You have $6,150 to deposit. Regency Bank offers 12 percent per year compounded monthly (1 percent per month).

  Difference between economic failure and financial distress

What is the difference between economic failure and financial distress? Which situation is likely to lead to liquidation, and which is likely to result in reorganization?

  Calculate the project cash flows

Suppose your firm is considering investing in a project with the cash flows shown below, that the required rate of return on projects of this risk class is 10 percent, and that the maximum allowable payback and discounted payback statistic for the pr..

  Compute the dividends to preferred and common shareholders

Compute the dividends to the preferred and common shareholders for 2016 if total dividends are $150,000 and assuming the preferred stock is noncumulative.

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