Suppose That You Want to Purchase a Home for $400,000 }">$\text { cellpadding="0" cellspacing="0" align="center" width=" } 99 \% \text { " border="1"> }$

question 103

Multiple Choice

Suppose that you want to purchase a home for $400,000 with a 30-year mortgage at 6% interest. Suppose that you can put 30% down. Use the table and determine the amount of the down payment, the amount to be financed, the monthly payments, the total amount of interest, and the necessary monthly income for you to be able to afford this loan. }">$\text { cellpadding="0" cellspacing="0" align="center" width=" } 99 \% \text { " border="1"> }$

$\text { Monthly Cost to Finance } \$ 1,000$

$\begin{array}{lcccc} & {\text { Number of Years Financed }} \\\text { Rate of } & 5 \text { Years } & 10 \text { Years } & 20 \text { Years } & 30 \text { Years } \\\text { Interest } & \mathrm{N}=60 & \mathrm{~N}=120 & \mathrm{~N}=240 & \mathrm{~N}=360 \\6.0 \% & 19.33 & 11.10 & 7.16 & 6.00 \\7.0 \% & 19.80 & 11.61 & 7.75 & 6.65 \\8.0 \% & 20.28 & 12.13 & 8.36 & 7.34 \\9.0 \% & 20.76 & 12.67 & 9.00 & 8.05 \\10.0 \% & 21.25 & 13.22 & 9.65 & 8.78 \\11.0 \% & 21.74 & 13.77 & 10.32 & 9.52 \\12.0 \% & 22.24 & 14.35 & 11.01 & 10.29\end{array}$

• A) down payment=$120,000; financed=$520,000; monthly payments=$3,120.00; total interest=$603,200; monthly income=$6,986.67
• B) down payment=$120,000; financed=$400,000; monthly payments=$2,400.00; total interest=$464,000; monthly income=$6,666.67
• C) down payment=$120,000; financed=$280,000; monthly payments=$1,680.00; total interest=$324,800; monthly income=$4,666.67
• D) down payment=$120,000; financed=$280,000; monthly payments=$1,680.00; total interest=$324,800; monthly income=$6,346.67
• E) down payment=$120,000; financed=$520,000; monthly payments=$3,120.00; total interest=$603,200; monthly income=$8,666.67

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Definitions:

Mediastinum

The central compartment of the thoracic cavity surrounded by loose connective tissue, containing the heart, esophagus, trachea, major blood vessels, and other structures.

Pleural Fluid

The thin layer of fluid between the two pleurae (the membranes surrounding the lungs and lining the chest cavity) that lubricates and facilitates lung movement during breathing.

Inspiratory Muscles

Muscles involved in inhalation, primarily the diaphragm and intercostal muscles, which expand the thoracic cavity.

Pleural Pressure

The pressure within the pleural cavity, which can influence lung expansion and contraction.