A mortgage for $$103,400$ is made with initial payments of $$500$ per month for the first year. The interest rate is $9$ percent. After the first year, payments will increase to an amount that makes the loan fully amortizable over the remaining $24$ years with constant monthly payments.

Required:

Calculate the interest deductions for the loan for the first year.

How much, if any, interest must be deferred until the second year?

How much interest will be deducted in the second year? A mortgage for $$103,400$ is made with initial payments of $$500$ per month for the first year. The interest rate is $9$ percent. After the first

year, payments will increase to an amount that makes the loan fully amortizable over the remaining $24$ years with constant monthly

payments.

Required:

a$.$ Calculate the interest deductions for the loan for the first year.

b$.$ How much, if any, interest must be deferred until the second year?

c$.$ How much interest will be deducted in the second year?

Complete this question by entering your answers in the tabs below.

Required A

Calculate the interest deductions for the loan for the first year.

Note: Do not round intermediate calculations. Round your final answer to the nearest whole dollar.