Q1,A: A property was recently purchased by a couple for $300000. The down payment amount was $90000
Question:
Q1,A: A property was recently purchased by a couple for $300000. The down payment amount was $90000 and the remaining amount was obtained from a mortgage. The mortgage has a nominal interest rate of 6%, compounded monthly with a 15-year amortization period. The term of the mortgage is 7 years. What are the couple's current monthly payments? Q1,B: On February 1, 2013, Salim Inc. issued 7-year, $3.0 million bonds with a coupon rate of 10%. Interest on similar risk investments earns 4% compounded semi-annually. The bonds pay coupons semi-annually on August 1 and February 1 each year. What is the issue price of the bond (on Feb 1, 2013)? DO NOT ENTER AS A NEGATIVE NUMBER
Round your final answer to the nearest whole number (integer).
Engineering Economic Analysis
ISBN: 9780195168075
9th Edition
Authors: Donald Newnan, Ted Eschanbach, Jerome Lavelle