Served

Check my work mode: This shows what is correct or incorrect for the work you have completed so far

Assume a $$175,000$ mortgage loan and $10-$year term. However, monthly payments will be based on a $30-$year amortization schedule The lender is charging an annual interest rate of $6$ percent. Total up$-$front financing costs, including payments to third parties, equal $4$ percent of the loan amount

Required:

a$.$ What is the monthly payment?

b$.$ What will be the required balloon payment at the end of the $10$th year?

c$.$ What is the effective borrowing cost on the loan if it is held to maturity?

Answer is complete but not entirely correct.

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

What will be the required balloon payment at the end of the $10$th year?

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

$\backslash$table$[[$Balloon payment,S $33,517x$