A mortgage can take up to 25 years to pay off. Taking a $250,000 home, calculate the month-end payment for 15-, 20-, and 25-year periods using semi-annually compounded interest rates of 4%, 5.5%, and 7% for each period. What do you observe from your calculations?

Answers

Answer 1

Answer:

a-1. Using semi-annually compounded interest rates of 4%, or 0.04, we have:

M15 = $2,389.13

M20 = $2,091.10

M25 = $1,929.54

a-2. Using semi-annually compounded interest rates of 5.5%, or 0.055

M15 = $2,841.49

M20 = $2,580.47

M25 = $2,450.28

a-3. Using semi-annually compounded interest rates of 7%, or 0.07

M15 = $3,329.35

M20 = $3,108.80

M25 = $3,009.40

b-1. It can be observed that there is a negative relationship between the month-end payment and the payment period.

b-2. It can be observed that there is a positive relationship between the month-end payment and the semi-annually compounded interest rate.

Step-by-step explanation:

The month-end payment for each period can be calculated using the formula for calculating the present value (PV) of an ordinary annuity as follows:

Mn = PV / ((1 - (1 / (1 + r))^n) / r) …………………………………. (1)

Where;

Mn = month-end payment for a particular year period = ?

PV = Present value or home value = $250,000

r = Monthly interest rate = semiannual interest rate / 6 months

n = number of months = Number of years * 12 months

Using equation (1), we have:

a. Calculate the month-end payment for 15-, 20-, and 25-year periods using semi-annually compounded interest rates of 4%, 5.5%, and 7% for each period.

a-1. Using semi-annually compounded interest rates of 4%, or 0.04

M15 = $250,000 / ((1 - (1 / (1 + (0.04/6)))^(15*12)) / (0.04 / 6)) = $2,389.13

M20 = $250,000 / ((1 - (1 / (1 + (0.04/6)))^(20*12)) / (0.04 / 6)) = $2,091.10

M25 = $250,000 / ((1 - (1 / (1 + (0.04/6)))^(25*12)) / (0.04 / 6)) = $1,929.54

a-2. Using semi-annually compounded interest rates of 5.5%, or 0.055

M15 = $250,000 / ((1 - (1 / (1 + (0.055/6)))^(15*12)) / (0.055 / 6)) = $2,841.49

M20 = $250,000 / ((1 - (1 / (1 + (0.055/6)))^(20*12)) / (0.055 / 6)) = $2,580.47

M25 = $250,000 / ((1 - (1 / (1 + (0.055/6)))^(25*12)) / (0.055 / 6)) = $2,450.28

a-3. Using semi-annually compounded interest rates of 7%, or 0.07

M15 = $250,000 / ((1 - (1 / (1 + (0.07/6)))^(15*12)) / (0.07 / 6)) = $3,329.35

M20 = $250,000 / ((1 - (1 / (1 + (0.07/6)))^(20*12)) / (0.07 / 6)) = $3,108.80

M25 = $250,000 / ((1 - (1 / (1 + (0.07/6)))^(25*12)) / (0.07 / 6)) = $3,009.40

b. What do you observe from your calculations?

Two things can be observed from the calculations:

b-1. At a particular semi-annually compounded interest rate, the month-end payment decreases as the payment period increases. This implies that there is a negative relationship between the month-end payment and the payment period.

b-2. At a particular payment period, the month-end payment increases as the semi-annually compounded interest rate increases. This implies that there is a positive relationship between the month-end payment and the semi-annually compounded interest rate.


Related Questions

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Step-by-step explanation:

Step 2:

[tex] ({15x}^{2} - 9x) + (5x - 3)[/tex]

Stepc3:

[tex]3x(5x - 3)[/tex]

?
Which graph contains the points of intersection
satisfying this linear-quadratic system of equations?
x2 + y2 = 20
x-y + 2 = 0

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Answer:

Step-by-step explanation:

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246 degrees i think, 44+80= 124 then 360-124 which us 246. (i might have misunderstood the question)

Answer:

hey mate

plz mark it as brainliest

PLEASE HELP!
y = 2x − 1
y = 4x - 5
solve both :)

Answers

Answer:

x=2

Step-by-step explanation:

We have

y = 2x-1

y= 4x-5

Therefore, as 2x-1=y=4x-5, we can say that

2x-1=4x-5

add 1 to both sides to make one side have only x components

2x = 4x-4

subtract 4x from both sides to separate the x components

-2x = -4

divide both sides by -2 to separate the x

x = 2

luis tiene 3 años más que
Ines. La edad de Antonio
suma de las edades de ambos.
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Answer:

NMHGJMHBNKJ6T76 5745

Step-by-step explanation:

7657457657776767

Can you help me with this question? It’s in the photo

Answers

Answer:

Option (d), (e) and (f) are correct.

Step-by-step explanation:

In triangle MNP, angle P = 90 degree

Cos M = 7 / 12

Now according to the right angle triangle

[tex]NP^2 = NM^2 - PM^2\\\\NP^2 = 12^2 - 7^2\\\\NP = \sqrt95[/tex]

Now

[tex]Sin M = \frac{sqrt95}{12}\\\\Cos N = \frac{95}{12}[/tex]

If you like peanut butter and chocolate, then you will love Reese's.

What is the converse of the statement?

Answers

Answer:

Reese's love peanut butter and chocolate

hope it helps u

plz mark it as brainliest

Determine the values of xfor which the function can be replaced by the Taylor polynomial if the error cannot exceed 0.001.(Enter your answer using interval notation. Round your answer to four decimal places.)

Answers

Answer:

The values of x for which the function can be replaced by the Taylor polynomial if the error cannot exceed 0.001 is 0 < x < 0.3936.

Step-by-step explanation:

Note: This question is not complete. The complete question is therefore provided before answering the question as follows:

Determine the values of x for which the function can be replaced by the Taylor polynomial if the error cannot exceed 0.001. f(x) = e^x ≈ 1 + x + x²/2! + x³/3!, x < 0

The explanation of the answer is now provided as follows:

Given:

f(x) = e^x ≈ 1 + x + x²/2! + x³/3!, x < 0 …………….. (1)

[tex]R_{3}[/tex] = (x) = (e^z /4!)x^4

Since the aim is [tex]R_{3}[/tex](x) < 0.001, this implies that:

(e^z /4!)x^4 < 0.0001 ………………………………….. (2)

Multiply both sided of equation (2) by (1), we have:

e^4x^4 < 0.024 ……………………….......……………. (4)

Taking 4th root of both sided of equation (4), we have:

|xe^(z/4) < 0.3936 ……………………..........…………(5)

Dividing both sides of equation (5) by e^(z/4) gives us:

|x| < 0.3936 / e^(z/4) ……………….................…… (6)

In equation (6), when z > 0, e^(z/4) > 1. Therefore, we have:

|x| < 0.3936 -----> 0 < x < 0.3936

Therefore, the values of x for which the function can be replaced by the Taylor polynomial if the error cannot exceed 0.001 is 0 < x < 0.3936.

A jewellery shop is having a sale. A bracelet is now reduced to £420. This is 70% of the original price. Work out the original price of the bracelet.

Answers

Answer:

Step-by-step explanation:

x is the original price.

420/x = 70% = 0.7

x = 420/0.7 = 600

Original price of bracelet was £600

A candy bar box is in the shape of a triangular prism. The volume of the box is 1,200 cubic centimeters.

Answers

Answer:

[tex]Height = 12cm[/tex]

Step-by-step explanation:

Given

[tex]Volume = 1200cm^3[/tex]

The dimension of the base is:

[tex]Base =10cm[/tex]

[tex]Sides = 13cm[/tex]

See comment for complete question

Required

The height of the base

To do this, we make use of Pythagoras theorem where:

[tex]Sides^2 = (Base/2)^2 + Height^2[/tex]

So, we have:

[tex]13^2 = (10/2)^2 + Height^2[/tex]

[tex]13^2 = 5^2 + Height^2[/tex]

[tex]169 = 25 + Height^2[/tex]

Collect like terms

[tex]Height^2 = 169 - 25[/tex]

[tex]Height^2 = 144[/tex]

Take square roots of both sides

[tex]Height = 12cm[/tex]

subtract the following rational expressions
[tex] \frac{8k}{9k - 4} - \frac{3k^3}{2k + 7} [/tex]
please show all work​

Answers

Answer:

-27k^4 +12k^3+16k^2+56k

---------------------

(9k-4)(2k+7)      

Step-by-step explanation:

8k                  3k^3

---------   -  -----------

9k-4             2k+7

Get a common denominator

8k *(2k+7)          3k^3 *(9k-4)

---------      -           -----------

(9k-4)(2k+7)        (9k-4)(2k+7)

Combine

8k *(2k+7) -3k^3 *(9k-4)

---------------------

(9k-4)(2k+7)        

Distribute

16k^2+56k -27k^4 +12k^3

---------------------

(9k-4)(2k+7)      

-27k^4 +12k^3+16k^2+56k

---------------------

(9k-4)(2k+7)        

211 base x is equal to 10110 base 2 ​

Answers

Hello,

[tex](211)_x=(10110)_2\\\\2*x^2+x+1=22\\\\2x^2+x-21=0\\\Delta=1+4*2*21=169=13^2\\x=\dfrac{-1+13}{4}= 3\\or\\x=\dfrac{-1-13}{4}\ may\ not\ be\ negative\\\\[/tex]

x=3

The Students in a school can be arranged in 12, 15, 18 equal rows and also into a solid square. What is the lowest number of students that can be in the school? (Hint: find the LCM)

Answers

Answer:

180

Step-by-step explanation:

HELP i need help on part b

Wilson is thinking about buying a house for $249,000. The table below shows the projected value of two different houses for three years.

Number of years 1 2 3
House 1 (value in dollars) 253,980 259,059.60 264,240.79
House 2 (value in dollars) 256,000 263,000 270,000

Part A: What type of function, linear or exponential, can be used to describe the value of each of the houses after a fixed number of years? Explain your answer. (2 points)

Part B: Write one function for each house to describe the value of the house f(x), in dollars, after x years. (4 points)

Part C: Wilson wants to purchase a house that would have the greatest value in 45 years. Will there be any significant difference in the value of either house after 45 years? Explain your answer, and show the value of each house after 45 years. (4 points)

Answers

Answer

Number of years 1               2            3

House 1 (value in dollars) 249,000 253,980 259,059.60

House 2 (value in dollars) 249,000 256,000 263,000

House 1: exponential function

House 2: linear function

House 1: f(x) = 249,000 * (1.02)^(x-1)

→ f(3) = 249,000 * (1.02)³⁻¹ = 249,000 * (1.02)² = 259,059.60

House 2: f(x) = 249,000 + 7,000(x-1)

→ f(3) = 249,000 + 7,000(3-1) = 249,000 + 7,000(2) = 249,000 + 14,000 = 263,000

House 1:

f(45) = 249,000 * (1.02)⁴⁵⁻¹ = 249,000 * (1.02)⁴⁴ = 249,000 * 2.39 = 595,110

House 2:

f(45) = 249,000 + 7,000(45-1) = 249,000 + 7,000(44) = 249,000 + 308,000 = 557,000

House 1 will have a greater value than House 2 after 45 years.

Step-by-step explanation:

Hope this helps, if not let me know and I will fix it.

Part A

The value for house 1 follows an exponential growth function since the value is increasing by 2% each year. This is because we multiply each value by 1.02 to get the next year's value.

249,000*1.02 = 253,980253,980*1.02 = 259,059.60259,059.60*1.02 = 264,240.792 = 264,240.79

In contrast, house 2's value increases by the same amount each year (7000 per year)

249,000 + 7,000 = 256,000256,000 + 7,000 = 263,000263,000 + 7,000 = 270,000

This fixed amount it increases directly leads to house 2 having linear growth.

-----------

Summary:House 1 = exponential functionHouse 2 = linear function

=================================================

Part B

The equation for house 1's value is y = 249000(1.02)^x

This is in the form y = ab^x, where a = 249000 is the starting value and b = 1.02 is the growth rate factor.

We can think of 1.02 as 1+0.02 to represent the 2% growth.

In other words, 1.02 = 1+r solves to r = 0.02 = 2%

-----------

The equation for the second home's value is y = 7000x+249000

The slope m = 7000 tells us how the value is going up per year.

The y intercept b = 249000 is the original home value (when x = 0).

-----------

Summary:Equation for home 1 is f(x) = 249000(1.02)^xEquation for home 2 is f(x) = 7000x+249000

=================================================

Part C

Let's plug x = 45 into each equation mentioned in part B

For home 1, we have

f(x) = 249000(1.02)^x

f(45) = 249000(1.02)^45

f(45) = 607,025.697

f(45) = 607,025.70

So that's the value of home 1 after 45 years of constant 2% growth per year

For the second home, we have,

f(x) = 7000x+249000

f(45) = 7000*45+249000

f(45) = 564,000

So there is a significant difference. This difference is 607,025.70 - 564,000 = 43,025.70 dollars.

-----------

Summary:Home 1's value = $607,025.70Home 2's value = $564,000This is a difference of $43,025.70 which is fairly significant. It's better to go with home 1.

Write the solution set of the equation x2 – 4=0 in roster form

Answers

Answer:

Step-by-step explanation:

x²-4=0

(x+2)(x-2)=0

x=-2,2

solution is x∈{-2,2}

Type the correct answer in the box. Use numerals instead of words. If necessary, use / for the fraction bar.
Find the area of the triangle.
8
9
Square units
Reset
Next

Answers

Answer:

36 spuare units

Step-by-step explanation:

A= 1/2 b*h

b=8

h=9

A=1/2(8*9)

A=1/2(72)

A=36

Please help me with this... will give brainliest

Answers

Answer:

94 cm^2

Hope it helps!

In 2005, there were 1000 rabbits on an island. The population grows 8% per year. AT this rate, how many
rabbits will there be on the island by 2020?

Answers

Answer: 3172

Step-by-step explanation:

What is 7/9 divided by 1/3

Answers

Answer:

[tex]{ \tt{ = \frac{7}{9} \div \frac{1 }{3} }} \\ = { \bf{ \frac{7}{9} \times \frac{3}{1} }} \\ = \frac{7}{3} [/tex]

• Work out
3 1/2 X 1 3/5
Give
your answer as a mixed number in its simplest form

Answers

Answer:

5 3/5

Step-by-step explanation:

3 1/2 * 1 3/5

Change to  improper fractions

(2*3+1)/2  * (5*1+3)/5

7/2 * 8/5

56/10

Change back to a mixed number

50/10 +6/10

5 +3/5

5 3/5

Determine the area of the triangle.
96.0 square units
16.9 square units
192.0 square units
97.5 square units

Answers

Answer:

A. 96.0 square units

Step-by-step explanation:

The formula for the area of a triangle when we know the side length of two sides and the measure of an included angle of a triangle is given as:

A = ½*a*b*Sin C

Where,

a = 13

b = 15

C = 80°

Plug in the values into the formula

A = ½*13*15*Sin 80

A = 96.0187559

A = 96.0 square units (nearest tenth)

Answer:A

Step-by-step explanation: I took the test

PLEASE HELP! PLEASE SHOW WORK
Use the following expression to answer this three part question:
f(x) = 2x2 + 4x − 6

Part A: What are the x-intercepts of the graph of f(x)? Show your work.

Part B: Is the vertex of the graph of f(x) going to be a maximum or minimum? What are the coordinates of the vertex? Justify your answers and show your work.

Part C: What are the steps you would use to graph f(x)? Justify that you can use the answers obtained in Part A and Part B to draw the graph.

Answers

Answer:

Step-by-step explanation:

The graph of a quadratic function is a U-shaped curve called a parabola. One important feature of the graph is that it has an extreme point, called the vertex. If the parabola opens up, the vertex represents the lowest point on the graph, or the minimum value of the quadratic function.

Find the measure of the indicated angle

Answers

Answer:

Step-by-step explanation:

Because of the Isosceles Triangle Theorem, the angles across from the congruent sides will be congruent. That means that the angle x also measures 42 degrees.

What is the value of x to the nearest tenth?
A) 29.5
B)18.5
C)37.0
D)40.8

Answers

The answer is C 37.0 I’m not sure

Can someone help me with this math homework please!

Answers

Answer:

See step by Step

Step-by-step explanation:

Both are correct. As long as we undo the operations that was given from the original term to both sides until we get the variable by itself., any way can be applied.

Both, Spencer and Jeremiah are correct. We can verify this by testing their methods.

Spencer's method:

[tex]6x - 2 = - 4x + 2[/tex]

[tex]6x - 2 + 4x= - 4x + 2 + 4x[/tex]

[tex]10x - 2 = 2[/tex]

[tex]10x = 2 + 2[/tex]

[tex]10x = 4[/tex]

[tex]x = \frac{4}{10} [/tex]

[tex]x = 0.4[/tex]

Jeremiah's method:

[tex]6x - 2 = - 4x + 2[/tex]

[tex]6x - 2 - 6x = - 4x + 2 - 6x[/tex]

[tex] - 2 = - 10x + 2[/tex]

[tex] - 2 - 2 = - 10x[/tex]

[tex] - 4 = - 10x[/tex]

[tex] \frac{ - 4}{ - 10} = x[/tex]

[tex]0.4 = x[/tex]

As seen, we get the correct answer by using Spencer's and Jeremiah's method. So, we can say that they both are correct.

Find the measure of the third angle of a triangle if the measures of the other two angles are given.
102.9 and 40.4

Answers

Answer:

36.7

Step-by-step explanation:

180 - 102.9 - 40.4= 36.7

The measure of the third angle of the given triangle after applying the angle sum property of a triangle is 36.7 degrees.

The measures of the two angles of a triangle are 102.9 and 40.4.

We need to find the measure of the third angle.

What is the Angle Sum Property of a triangle?

The angle sum property of a triangle states that the sum of all three interior angles of a triangle is 180 degrees.

If A, B, and C are the interior angles we have,

A + B + C = 180.

Consider the three interior angles to be A, B, and C.

We are given two angles 102.9 and 40.4.

Let  A = 102.9,  B = 40.4.

and C = angle to be measured.

Now,

Applying the angle sum property of a triangle.

We have,

A + B + C = 180

102.9 + 40.4 + C = 180

143.3 + C = 180

C = 180 - 143.3

C = 36.7 degrees.

After applying the angle sum property of a triangle we got the measure of the third angle as 36.7 degrees.

Learn more about the measurement of angles in a triangle here:

https://brainly.com/question/27681289

#SPJ2

Find the slope between the points (−3,−5) and (10,-5)

. Enter DNE if the slope between the points is undefined.

Answers

Answer:

0

Step-by-step explanation:

[tex] m = \dfrac{y_2 - y_1}{x_2 - x_1} [/tex]

[tex] m = \dfrac{-5 - (-5)}{-3 - 10} [/tex]

[tex] m = \dfrac{0}{-13} [/tex]

[tex] m = 0 [/tex]

from -3 to 10 are 13 steps to the right and from -5 to -5 0 steps up or down.

devide the steps up by the steps to the right

0 / 13 = 0

in this case it's obvious, but I hope you see the method how to do this. you would normally get a more interesting fraction as a slope.

what percent of 98 million is 7740

Answers

Answer:

Step-by-step explanation:

x : 100 = 7740 : 98 000 000

x = (7740 * 100)/98 000 000

x = 0.007898 %

A percentage is a hundredth of a number      Then                                                    [tex]\displaystyle\bf \frac{7740}{98\cdot10^6} \cdot100=\frac{387}{49000} \approx 0,00789\%[/tex]                                                      

Which ordered pair is a solution of 2x+4y=6x-y

Answers

Answer:

5y=4x

Step-by-step explanation:

A local hamburger shop sold a combined total of 688 hamburgers and cheeseburgers on Thursday. There were 62 fewer cheeseburgers sold than hamburgers How many hamburgers were sold on Thursday?​

Answers

Answer:

626

Step-by-step explanation:

So 62 fewer right so 688 combined- 62 cheeseburger =626 hamburger

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