For the Fixed-Rate Mortgage Below, Determine the Net Initial Monthly

question 204

Multiple Choice

For the fixed-rate mortgage below, determine the net initial monthly cost (taking tax savings into consideration) . Round your answer to the nearest dollar. $$\begin{array} { l l } \text { Amount of mortgage: } & \$ 147,000 \\\text { Term of mortgage: } & 30 \text { years } \\\text { Interest rate: } & 8 \% \\\text { Annual property tax: } & \$ 1110 \\\text { Annual insurance: } & \$ 570 \\\text { Owner's income tax bracket: } & 40 \%\end{array}$$

• A)$790
• B)$818
• C)$750
• D)$771

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