Question

Canvas Question 6 0.5 pts Consider a 15-year mortgage loan of $107,908.2353, with an interest rate of 8.00%, assuming monthly payments. The mortgage balance remaining after making 5 payments is and the total interest expense for the 6th year is 111.644.52:6,788.31 109.517.95:6,920.12 106,328.11: 6,590.59 97.821.86:5.93153 99,948.42:6,195.15 Question 7 0.5 pts For what interest rate your investment of $501 will increase to $17.172 in 24 years? 1.16% 0.43% 0.16% 15.87% 17.00% 0.5 pts Question 8 MacBook Pro esc % ^ &

Answer 1

6) Balance after 6th year will be 1,063,281.11 and interest expense for 6th year is 6509.69

Correct option is the third one

7) $501\times (1+r)^{24}=17172\Rightarrow r=\left(\frac{17172}{501} \right )^{\frac{1}{24}}-1\approx 0.15866$

Correct option is 4th one: 15.87%

$\blacksquare$

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