document.write( "<A HREF=/cgi-bin/jump-to-question.mpl?question=1193350>Question 1193350</A>: <I><SPAN STYLE=\"word-break: break-all;\"> Austin paid $134,200 as a down payment towards an apartment purchase and received a mortgage from a bank for the remaining amount; he is to pay $5,660 at the end of every three months for 29 years at an interest rate of 2.46% compounded quarterly to repay the mortgage.\r<BR>\n" );
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document.write( "a) What was the purchase price of the apartment? $<BR>\n" );
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document.write( "b) What was the total amount Austin paid over the 29-year period to repay the mortgage? $<BR>\n" );
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document.write( "c) How much interest was charged on the mortgage? $ </SPAN>\n" );
document.write( "</I><HR><TABLE width=100%><TR><TD><B><A HREF=http://www.algebra.com/>Algebra.Com's</A> Answer #825431 by </B><A HREF=/tutors/aboutme.mpl?userid=Theo><B>Theo(13342)</B></A><img src=\"/images/stars/stars-13.gif\" alt=\"\" >&nbsp;<A HREF=/tutors/aboutme.mpl?userid=Theo><IMG SRC=http://www.algebra.com/images/aboutme-small.gif BORDER=0 alt=\"About Me\" VALIGN=MIDDLE></A>&nbsp;<IMG SRC=http://www.algebra.com/cgi-bin/show-face.mpl?user=Theo><BR>You can <A HREF=\"/cgi-bin/embed-solution.mpl?show=1&solution=825431\">put this solution on YOUR website!</A><BR><SPAN STYLE=\"word-break: break-all;\"> he paid 134,200 down payment and received a mortgage from a bank for the remaining amount.<BR>\n" );
document.write( "he will pay 5660 at the end of each quarter (3 months is a quarter of a year) for 29 years at an interest rate of 2.46% per year compounded quarterly.<BR>\n" );
document.write( "the length of the loan is 29 years * 4 quarters per year = 116 quarters.<BR>\n" );
document.write( "the interest rate per quarter is 2.46% / 4 = .616%.<BR>\n" );
document.write( "total amount he paid over the 29 year period is 5660 * 116 = 656,560<BR>\n" );
document.write( "the present value of the payments = 468,402.19<BR>\n" );
document.write( "total interest he paid is 656,560 minus 468,402.19 = 188,157.81.\r<BR>\n" );
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document.write( "i used the financial calculator at <a  rel=nofollow HREF= \"https://arachnoid.com/finance/index.html\" target = \"_blank\">https://arachnoid.com/finance/index.html</a>\r<BR>\n" );
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document.write( "results are shown below:\r<BR>\n" );
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document.write( "<IMG STYLE=\"max-width:80%;\" src = \"http://theo.x10hosting.com/2022/041801.jpg\" >\r<BR>\n" );
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document.write( "inputs were everything except present value.<BR>\n" );
document.write( "output was present value.\r<BR>\n" );
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