Wanda takes out a 33-year mortgage for $152000 at an interest rate of j = 7.8%....

  

Transcribed Image Text:

Wanda takes out a 33-year mortgage for $152000 at an interest rate of j = 7.8%. After the 10th monthly mortgage payment, she decides to make some changes. To repay the loan, she will make 97 more mortgage payments (additional to the 10 she has already made). At the same time as the 11th payment (that is, one month from the 10th payment), she plans to set up a sinking-fund that will pay off the remainder of the mortgage on the same day as she makes the last mortgage payment. If the sinking-fund earns interest at j12 = 6%. What will be the amount of each monthly sinking-fund deposit? Note: She will make her first deposit into the sinking-fund on the same day that she makes her 11th mortgage payment. Answer: $ Wanda takes out a 33-year mortgage for $152000 at an interest rate of j = 7.8%. After the 10th monthly mortgage payment, she decides to make some changes. To repay the loan, she will make 97 more mortgage payments (additional to the 10 she has already made). At the same time as the 11th payment (that is, one month from the 10th payment), she plans to set up a sinking-fund that will pay off the remainder of the mortgage on the same day as she makes the last mortgage payment. If the sinking-fund earns interest at j12 = 6%. What will be the amount of each monthly sinking-fund deposit? Note: She will make her first deposit into the sinking-fund on the same day that she makes her 11th mortgage payment. Answer: $