Mortgages, Managerial Accounting

Assignment Help:

You want to purchase a house that costs $325,000. You have a down payment of $65,000 and will take out a mortgage to make up the difference. The AMC Mortgage Corporation offers a quoted interest rate of 3.99 percent annually and you decide on a 30-year amortization period, with monthly payments.

(a) What is the amount of each monthly payment?

(b) You plan to pay off the mortgage loan at the end of fifteen years. How much would you need to come up with in fifteen years? How much interest would you have paid over the fifteen years?

(c) As an alternative to making monthly payments as in part (a), you are considering making weekly payments. Assuming that there are 52 weeks per year, how many years would it take to pay off the mortgage? How much would you have saved in interest?


Related Discussions:- Mortgages

Zero-base budgeting , Zero-Base Budgeting Zero-Base Budgeting (ZBB) wa...

Zero-Base Budgeting Zero-Base Budgeting (ZBB) was first developed and introduced for business by Peter A. Pyhrr. From this starting ZBB has been explored and adopted by many o

Xs strategy, X's Strategy X will like to divide his play between his ro...

X's Strategy X will like to divide his play between his rows in such a way that his expected winnings or losses when Y plays the first column will be equal to his expected winn

Cash planning, Firms need cash to invest in inventory, receivables and fixe...

Firms need cash to invest in inventory, receivables and fixed assets and to create payments for operating expenses, so as to increase earnings and sales and make sure the smooth ru

Determining optimum cash balance, One of the main deities of the financial ...

One of the main deities of the financial manager is to keep a sound liquidity position for the firm hence the dues are settled as and while they mature. Separately from this the fi

Case Study, Can someone do my case study for managerial accounting includin...

Can someone do my case study for managerial accounting including writing a sales report?

The board of a company decides that the strategic objectives, The board of ...

The board of a company decides that the strategic objectives of the company should be: * to become established as the best in its field * to be the largest in its market Comment on

Financial statement, how to i get financial report for my company Anuz Wpp

how to i get financial report for my company Anuz Wpp

Production, Production As you would suspect, effectively directing an o...

Production As you would suspect, effectively directing an organization needs prudent management of production. Because this is a hands-on process, and often entails dealing wit

Alternative performance measures, Alternative performance measures Ther...

Alternative performance measures There are various measures that can be used to measure performance of a decentralized company. The major ones are: •    Return on Investmen

Write Your Message!

Captcha
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