Paul's house was purchased for $280,000 exactly five years ago and is worth $296,000 now. At...

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Paul's house was purchased for $280,000 exactly five years ago and is worth $296,000 now. At the time of purchase, Paul took out a five-year fixed mortgage of $224,000 amortized over 25 years, at four percent interest compounded semi- annually. He makes bi-weekly payments (once every two weeks). Required (show all calculations): How much is the bi-weekly payment on this mortgage? Paul's house was purchased for $280,000 exactly five years ago and is worth $296,000 now. At the time of purchase, Paul took out a five-year fixed mortgage of $224,000 amortized over 25 years, at four percent interest compounded semi- annually. He makes bi-weekly payments (once every two weeks). Required (show all calculations): How much is the bi-weekly payment on this mortgage?

Answer rating: 100% (QA)

SOLUTION To calculate the biweekly payment on the mortgage we can use the formula for the p... View the full answer