17. John and Yuki want to buy athree-bedroom semi-detached house that currently sells for $725900.The annual property taxes for their home are approximately $3500.a) How much money do they need to make a 12% down payment? Find the mortgage amount.b) How much should they deposit each month, tohave the down payment in five years, in a sav-ings account that gives 2.5% per annum com-pounded quarterly? Show your detail entries ofthe TVM Solver.c) When they buy the house, John & Yuki take outa mortgage for $639000 at 3.9% per year, amor-tized over 25 years. Determine their monthlymortgage payment. Show your detail entries ofthe TVM Solver.TVM Advanced CalculatorMode End BeginningPresent ValuePaymentsFuture ValueAnnual Rate (%)PeriodsCompoundingTVM Advanced CalculatorMode End BeginningPresent ValuePaymentsFuture ValueAnnual Rate(%)PeriodsIDDAHCompoundingDABOPVPMTFVRatePeriodsPVPMTFVRatePeriods

Given: Cost of house = $725,900 Property taxes = $3,500 Down payment rate = 12%

7. John and Yuki want to buy a three-bedroom semi-detached house that currently sells for $725900. The annual property taxes for their home are approximately $3500. a) How much money do they need to make a 12% down payment? Find the mortgage amount. b) How much should they deposit each month, to have the down payment in five years, in a sav- TVM Advanced Calculator Mode End Beginning

7. John and Yuki want to buy a three-bedroom semi-detached house that currently sells for $725900. The annual property taxes for their home are approximately $3500. a) How much money do they need to make a 12% down payment? Find the mortgage amount. b) How much should they deposit each month, to have the down payment in five years, in a sav- TVM Advanced Calculator Mode End Beginning

EBK CFIN

6th Edition

ISBN:9781337671743

Author:BESLEY

Publisher:BESLEY

Chapter4: Time Value Of Money

Section: Chapter Questions

Problem 25PROB

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