P 5-26 (similar to) Question Help You have an outstanding student loan with required payments...
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P 5-26 (similar to) Question Help You have an outstanding student loan with required payments of $550 per month for the next four years. The interest rate on the loan is 8% APR (compounded monthly). Now that you realize your best investment is to prepay your student loan, you decide to prepay as much as you can each month. Looking at your budget, you can afford to pay an extra $200 a month in addition to your required monthly payments of $550, or $750 in total each month. How long will it take you to pay off the loan? (Note: Be careful not to round any intermediate steps less than six decimal places.) The number of months to pay off the loan is (Round to two decimal places.) P 5-21 (similar to) Question Help You have just sold your house for $900,000 in cash. Your mortgage was originally a 30-year mortgage with monthly payments and an initial balance of $750,000. The mortgage is currently exactly 1872 years old, and you have just made a payment. If the interest rate on the mortgage is 7.75% (APR), how much cash will you have from the sale once you pay off the mortgage? (Note: Be careful not to round any intermediate steps less than six decimal places.) Cash that remains after payoff of mortgage is $ (Round to the nearest dollar.)
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