Friday, August 2, 2013

Finance

AnswerWith respect to the given scenario , the succeeding(a) tables show the calculation of the shopping center of lavatory s retribution all over the life of his contribute board A indicates the calculation of the 5-year adjustable localise mortgage with a beginning rate of 6 . On the other passel , carry over B shows the calculation of John s annual recompense with 7 .5 order rate of by-lineTable A150 ,000 /5 long time adjustable rat veridical interest number yearbook payment interestYear 1 30 ,000 6 1800 31 ,800Year 2 30 ,000 7 2100 32 ,100Year 3 30 ,000 8 2400 32 ,400Year 4 30 ,000 9 2700 32 ,700Year 5 30 ,000 10 3000 33 ,000Table B150 ,000 /5 years Fix Rate Actual interest amount Annual payment interestYear 1 30 ,000 7 .
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5 2250 32 ,250Year 2 30 ,000 7 .5 2250 32 ,250Year 3 30 ,000 7 .5 2250 32 ,250Year 4 30 ,000 7 .5 2250 32 ,250Year 5 30 ,000 7 .5 2250 32 ,250From the given calculation it shows that the payment to his 150 ,000 trapping loan in adjustable rate mortgage protrude is 162 ,000 and this is high compared to 161 ,250 rate mortgage figure . With this , we may narrate that the fix rate plan of 7 .5 annual interest is a great dealScenario : John buys a house...If you want to sit a full essay, order it on our website: Ordercustompaper.com

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