60.1K

Verified Solution

Link Copied!

5. Fill out the adjustment table for the following transaction: The adjustment date is on April 13^th, 2005.

Vendor: Mr. Joe Smith

Purchaser: Mrs. Sarah Happy

• A duplex is sold for $ 548000
• The buyer decides to leave a deposit (a cheque) with his promise to the purchase for the amount of $ 10000
• The buyer will also assume the existing mortgage loan of the seller. The balance is

$ 325, 963.35 as of April 1^st, 2005. I=4.5%

• The school taxes are paid in full: $3650
• The municipal taxes are paid in full: $ 5690.25
• The monthly rent of the duplex is $1100 and the owner currently occupies one of the units.

Closing adjustments Description Vendor owes Purchaser Owes Interest on mortgage: From: ta Number of days: _Interest rate Balance on mortgage: Municipal taxes: From: to Number of days: Interest rate Total: x (number of days /365) School taxes: From: ta Number of days: Interest rate Total: _x (number of days /365) Rental income/condo fees: From: ta Number of days: Interest rate Total: x (number of days /365) Fuel Oil: litos at $ /lice- x taxes Closing adjustments Description Vendor owes Purchaser Owes Interest on mortgage: From: ta Number of days: _Interest rate Balance on mortgage: Municipal taxes: From: to Number of days: Interest rate Total: x (number of days /365) School taxes: From: ta Number of days: Interest rate Total: _x (number of days /365) Rental income/condo fees: From: ta Number of days: Interest rate Total: x (number of days /365) Fuel Oil: litos at $ /lice- x taxes

Answer & Explanation Solved by verified expert

See Answer