Narrative 14-1
For problems in this section, use Table 14-1 from your text to find the monthly mortgage payments, when necessary.
-Refer to Narrative in your text 14-1. Prepare an amortization schedule for Betty after the first payment of a $55,000 mortgage at $9 \frac { 1 } { 2 } \%$ for 30 years. Find the loan balance after the first payment.

Question

Quizplus · Accepted Answer

To find the loan balance after the first payment, you need to calculate the interest for the first month and subtract the total payment minus this interest from the original loan amount. Given a $55,000 mortgage at 9.5% for 30 years, the first step is to find the monthly payment using the given table or a mortgage calculator. Then, calculate the interest for the first month (9.5% annual interest rate divided by 12 months, applied to the $55,000 principal). Subtract the portion of the first payment that goes towards the principal from the original loan amount to find the new balance. Without the exact monthly payment and interest calculation provided, the correct answer is based on the information that would typically be derived from such a calculation or a table provided in the text.

Narrative 14-1 for Problems in This Section, Use Table 14-1 912%9 \frac { 1 } { 2 } \%921​%

Narrative 14-1
for Problems in This Section, Use Table 14-1 $9 \frac { 1 } { 2 } \%$