Calculate the Monthly Principal and Interest (PI), Using Table 14-1

question 80

Short Answer

Calculate the monthly principal and interest (PI), using Table 14-1 from your text, and the monthly PITI for the following mortgage, rounding to the nearest cent. $$\begin{array} { l l l l l l l } \text { Amount } & \text { Interest } & \text { Term of } & \text { Monthly } & \text { Annual } & \text { Annual } & \text { Monthly } \\\text { Financed } & \text { Rate } & \underline { \text { Loan } } & \underline { \text { PI } } & \underline { \text { Property Tax } } & \underline { \text { Insurance } } & \text { PITI } \\\$ \$ 280,000 & 4 \frac { 1 } { 4 } \% & 40 \text { years } & & \$ 5,800 & \$ 2,898 &\end{array}$$

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Definitions:

Tariff

Government-imposed duties on imported or, less commonly, exported goods, often established to protect domestic industries and to generate revenue.

Quota

A limit set by a government on the quantity of a particular product that can be imported or exported within a given timeframe, used for trade regulation.

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A deliberate action taken by a government or other organization to influence economic, social, or environmental outcomes.

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The sum of all products and services made within a nation, ready for use domestically or for sending abroad.