The Jonsons have accumulated the nest egg of $30,000 that they indent to use as a down payment towards the purchase of a new house. Because their present gross income has placed them in a relative high tax bracket, they have decided to invest a minimum of $2,600/month monthly payments ( to take the advantages of the tax deduction) towards the purchase of their house. However, because of other defalt obligation their monthly payment should be exceed $4,000. If local morgage rates are 4% compounded monthly for a conventional 30-years morgage, how would this affect the price range of houses that the Jonsons should be consider? Round your intermediate calculations to two decimal places and the final answer to nearest integer.
A) The range of the homes they should consider is approximately $573,816 to $867,263.
B) The range of the homes they should consider is approximately $573,671 to $866,917 .
C) The range of the homes they should consider is approximately $574,017 to $867,062 .
D) The range of the homes they should consider is approximately $574,599 to $867,845.
E) The range of the homes they should consider is approximately $575,609 to $868,855 .

Question

The Jonsons have accumulated the nest egg of $30,000 that they indent to use as a down payment towards the purchase of a new house. Because their present gross income has placed them in a relative high tax bracket, they have decided to invest a minimum of $2,600/month monthly payments ( to take the advantages of the tax deduction) towards the purchase of their house. However, because of other defalt obligation their monthly payment should be exceed $4,000. If local morgage rates are 4% compounded monthly for a conventional 30-years morgage, how would this affect the price range of houses that the Jonsons should be consider? Round your intermediate calculations to two decimal places and the final answer to nearest integer. ​
A) The range of the homes they should consider is approximately $573,816 to $867,263.
B) The range of the homes they should consider is approximately $573,671 to $866,917 .
C) The range of the homes they should consider is approximately $574,017 to $867,062 .
D) The range of the homes they should consider is approximately $574,599 to $867,845.
E) The range of the homes they should consider is approximately $575,609 to $868,855 .

Quizplus · Accepted Answer

The Answer of The Jonsons have accumulated the nest egg of $30,000 that they indent to use as a down payment towards the purchase of a new house. Because their present gross income has placed them in a relative high tax bracket, they have decided to invest a minimum of $2,600/month monthly payments ( to take the advantages of the tax deduction) towards the purchase of their house. However, because of other defalt obligation their monthly payment should be exceed $4,000. If local morgage rates are 4% compounded monthly for a conventional 30-years morgage, how would this affect the price range of houses that the Jonsons should be consider? Round your intermediate calculations to two decimal places and the final answer to nearest integer. ​
A) The range of the homes they should consider is approximately $573,816 to $867,263.
B) The range of the homes they should consider is approximately $573,671 to $866,917 .
C) The range of the homes they should consider is approximately $574,017 to $867,062 .
D) The range of the homes they should consider is approximately $574,599 to $867,845.
E) The range of the homes they should consider is approximately $575,609 to $868,855 .

The Jonsons Have Accumulated the Nest Egg of $30,000 That