# rapidly rising housing prices, accounting homework help

I NEED THIS ON EXCCEL SPREADSHEET WITH ALL THE NUMBER SIR. THE NAME EXCEL PAPER CAN BE HOME WORK P6 , P9 , P10 ,P11 , P12, P13 , P15

Unfortunately, due to rapidly rising housing prices during the decade prior to 2006, many home buyers needed increasingly larger loans to make their real property purchases. For example, a \$200,000 fixed-rate mortgage loan would result in a much higher monthly payment compared to a \$100,000 loan. Rework the above financial calculator spread sheet solutions using a PV of – 200000. The resulting doubling of the monthly payment to \$1,199.10 means that fewer potential home buyers could qualify for these larger loans.

P6

FV = PV * (1+r)^n;

a)5000 = PV * (1+0.05)^10; 5000 = PV * (1.05)^10; PV = 5000/((1.05)^10); PV = \$3,069.57

b)5000 = PV * (1+0.07)^7; 5000 = PV * (1.07)^7; PV = 5000/((1.07)^7); PV = \$3,113.75

c)5000 = PV * (1+0.09)^4; 5000 = PV * (1.09)^7; PV = 5000/((1.09)^4); PV = \$3,542.13

P9

FV = PV * (1+r*n);

FV = 5000 * (1+0.1*5); FV = 5000 * 1.5; FV = \$7,500

P10

PV = FV/((1+r)^n)

PV = 3000/((1+0.04)^1); PV = 3000/1.04; PV = \$2,884.62

PV = 3000/((1+0.04)^2); PV = 3000/1.04; PV = \$2.773.67

P11

PV = FV/((1+r)^n)

PV = 3000 *

P12

Monthly payments = \$11122.22; annual payment = \$133,466.64

P13

Monthly payments = \$380.44; annual payments = \$4,565.28

P15

a)85*8 + 1000 = \$1,680; PV = 1680/((1+0.085)^8); PV = \$874.72

b)PV = 1680/((1+0.1)^8) = \$783.73

c)PV = 1680/((1+0.08)^8) = \$907.65