What is the approximate size of the mortgage
Your real estate agent mentions that homes in your price range require a payment of approximately $1,200 per month over 30 years at 9% interest. What is the approximate size of the mortgage with these terms?
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Your real estate agent mentions that homes in your price range need a payment of around $1,200 per month over 30 years at 9% interest. Determine the approximate size of the mortgage with such terms?
Illustrate numerically that a savings account with a current balance of $1,000 that earns interest at 9% annually is precisely sufficient to make the payments on a three year loan of $1,000 which carries equal annual payments at 9% interest.
Prizes are often not "worth" as much as claimed. Place a value on a prize of $5,000,000 which is to be received in equal payments over 20 years, with the first payment starting today. Suppose that an interest rate of 7% over the 20 years.
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If 4-years of college is expected to cost $150,000 18 years from now, how much must be deposited now into an account which will average 8% annually in order to save the $150,000? By how much would your answer change if you expected 11% yearly?
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