hw5 Description Use the information below to answer the questions. Instructions You have just graduated from ACME State with a degree in Diesel Technology.  Your new job takes you to Toledo, Ohio.  You are now earning $35,000 per year.  Your take home pya is 70% of that gross toal.  You are anxious to purchase a home.  You have the following monthly expenses:             Food                                        $275             Utilities                                   $145             Phone                                      $75             Medical                                   $30             Insurance                                $130 (including auto, health and life)             Clothing                                  $70 Student loan payment             $145 VISA payment                        $65 MasterCard Payment              $48 Car payment                           $211 Miscellaneous                        $100 Total                                       $_______ Multiple Attempts This test allows 3 attempts. This is attempt number 1. Force Completion This test can be saved and resumed later. QUESTION 1 1. First calculate your monthly take-home pay.  Next, add up the budgeted monthly expenses shown above.  How much remains for a monthly mortgage PITI payment (PITI = principal, interest, taxes, insurance)? $1,622,67 $2,916.67 $747.67 $2,041.67 1 points    QUESTION 2 1. Assume that taxes and insurance (T&I) amount to $70 per month.  How much remains to pay monthly mortgage principal and interest (P&I)?  (Hint:  Use your answer from the previous question) $1,552.67 $795.67 $677.67 $1,971.67 1 points    QUESTION 3 1. Using the answer to the above question calculate the size of the mortgage loan you could obtain.  Assume a 30-year loan at 7 percent annual interest. $101,858.93 mortgage $112,380.46 $119,494.52 $131,497.99 1 points    QUESTION 4 1. Using the answer from the above question, and assuming you have 10 percent of the purchase price, what is the most you could pay for a home? $126,666,67 $134,444.44 $113,176.59 $101,858.93 1 points    QUESTION 5 1. Assuming you do not pay the mortgage off early, how much interest will you pay the lender over the life of the 30 year loan if you payment is $677.67 per month and the mortgage loan was for $107,460? 2. $136,501.20 $134,587.94 $125,682.57 $140,520.60 1 points    Click Save and Submit to save and submit. Click Save All Answers to save all answers. hw4 Description Use the following information to answer all of the questions. Instructions Scenario:  Mortgage Loan = $150,000 Loan length = 30 years Interest rate = 6% annually Multiple Attempts This test allows 3 attempts. This is attempt number 1. Force Completion This test can be saved and resumed later. QUESTION 1 1. What will be the monthly mortgage payment? 2. $899.33 $857.23 $908.17 $895.46 1 points    QUESTION 2 1. Assuming you do not pay the loan off e.

1. hw5
Description
Use the information below to answer the questions.
Instructions
You have just graduated from ACME State with a degree in
Diesel Technology. Your new job takes you
to Toledo, Ohio. You are now earning $35,000 per year. Your
take home pya is 70% of that gross toal. You are anxious to
purchase a home. You have the following monthly expenses:
Food $275
Utilities $145
Phone $75
Medical $30
Insurance $130 (including auto,
health and life)
Clothing $70
Student loan payment $145
VISA payment $65
MasterCard Payment $48
Car payment $211
Miscellaneous $100
Total $_______
Multiple Attempts
This test allows 3 attempts. This is attempt number 1.
Force Completion
This test can be saved and resumed later.

2. QUESTION 1
1. First calculate your monthly take-home pay. Next, add up
the budgeted monthly expenses shown above. How much
remains for a monthly mortgage PITI payment (PITI = principal,
interest, taxes, insurance)?
$1,622,67
$2,916.67
$747.67
$2,041.67
1 points
QUESTION 2
1. Assume that taxes and insurance (T&I) amount to $70 per
month. How much remains to pay monthly mortgage principal
and interest (P&I)? (Hint: Use your answer from the previous
question)
$1,552.67
$795.67
$677.67

3. $1,971.67
1 points
QUESTION 3
1. Using the answer to the above question calculate the size of
the mortgage loan you could obtain. Assume a 30-year loan at 7
percent annual interest.
$101,858.93 mortgage
$112,380.46
$119,494.52
$131,497.99
1 points
QUESTION 4
1. Using the answer from the above question, and assuming you
have 10 percent of the purchase price, what is the most you
could pay for a home?
$126,666,67
$134,444.44
$113,176.59
$101,858.93
1 points

4. QUESTION 5
1. Assuming you do not pay the mortgage off early, how much
interest will you pay the lender over the life of the 30 year loan
if you payment is $677.67 per month and the mortgage loan was
for $107,460?
2.
$136,501.20
$134,587.94
$125,682.57
$140,520.60
1 points
Click Save and Submit to save and submit. Click Save All
Answers to save all answers.
hw4
Description
Use the following information to answer all of the questions.
Instructions
Scenario:
Mortgage Loan = $150,000
Loan length = 30 years
Interest rate = 6% annually

5. Multiple Attempts
This test allows 3 attempts. This is attempt number 1.
Force Completion
This test can be saved and resumed later.
QUESTION 1
1. What will be the monthly mortgage payment?
2.
$899.33
$857.23
$908.17
$895.46
1 points
QUESTION 2
1. Assuming you do not pay the loan off early, how much total
interest will you pay the lender?
$176,880.48
$158,520.21
$173,758.80
$172,200.66

6. 1 points
QUESTION 3
1. If you decide to amortize the loan over 15 year, what will be
your monthly payment?
2.
$1,214.42
$1,287.38
$1,265.79
$1,259.85
1 points
QUESTION 4
1. Assume you select a 15-year mortgage with an interest rate of
7.5 percent. What will your monthly payment be? (mortgage
loan is still $150,000)
$1,416
$1,391
$1,382
$1,317
1 points
QUESTION 5
1. Assume you select a 15-year mortgage with an interest rate of

7. 7.5 percent. How much total interest will you pay to the
lender? (mortgage loan is still $150,000)
$98,760.300
$100,380.00
$87,060.92
$104,880.28
1 points
hw3
QUESTION 1
1. If you purchased automobile liablilty coverage of 75/200/30,
describe what each number means.
2.
a.
$75,000 liability coverage for property damage
$200,000 liability coverage per accident for bodily injury
$30,000 liability coverage per person for bodily injury
b.
$75,000 liability coverage per person for bodily injury
$200,000 liability coverage per accident for bodily injury
$30,000 liability coverage for property damage

8. c.
$750 liability coverage per person for bodily injury
$2,000 liability coverage per accident for bodily injury
$300 liability coverage for property damage
d.
$750 liability coverage for property damage
$2,000 liability coverage per accident for bodily injury
$300 liability coverage per person for bodily injury
1 points
QUESTION 2
1. Assume you own a 1996 Chevrolet Impala which has a book
value of $800. The total annual premium for your auto
insurance policy is $789. The annual cost for collision
coverage is $284 with a $500 deductible. Liability coverage of
100/300/50 costs you $325 per year. what is the annual cost per
$1,000 of coverage for collision insurance? What is the annual
cost per $1,000 of coverage for liability insurance?
2.
a.
$568 is the collision cost per $1,000
$0.93 is the liability cost per $1,000
b.
$284 is the collision cost per $1,000
$325 is the liability cost per $1,000
c.
$3 is the collision cost per $1,000
$1 is the liability cost per $1,000
d.
$946.67 is the collision cost per $1,000
$0.93 is the liability cost per $1,000
2 points

9. QUESTION 3
1. Assume you have an accident in which your 1996 Impala is
totally destroyed, but you are not hurt. ACME Insurance Co.
(your insurance company) wrties you a check for the car. What
is the dollar amount of the check?
2.
a.
$1,000
b.
$800
c.
$500
d.
$300
1 points
QUESTION 4
1. Assume you have a home which would cost $120,000 to
replace. You currently have the home insured for $85,000.
Last night a tornado damaged your home, causing an estimated
$25,000 in damage. How much will your insurance company
pay for repairing the damage to your home?
2.
a.
$25,000
b.
$85,000
c.
$22,135
d.
$68,000

10. hw2
1. John and Kim are married, however, they did not have health
insurance for any of 2015. Their household income was
$50,000. What is the penalty they will have to pay – flat fee or
percentage – what is the dollar amount?
$588
$650
$532
$675
1 points
QUESTION 2
1.
In March 2015 you have an emergency surgery. You need to
figure out your share of the total medical expenses. Your
annual health insurance premium costs you $450. Your
insurance policy has a $1500 annual deductible after which it
pays 70% of the charges (70/30). The total bill for surgery was
$17,500. What is your portion of the surgery costs?

11. a.
$6,600 your total bill
b.
$5100 your total bill
c.
$6,300 your total bill
d.
$4800 your total bill
1.5 points
QUESTION 3
1. This is not your year. It is now June of the same year. Just
after recovering from the surgery you are rushed to the hospital
with a massive blood clot in your leg. The total bill this time
comes to $4,000. All costs associated with treatment of the
blood clot are covered under your health insurance policy.
How much of this $4,000 bill will you need to pay?
a.
$1,500 your total bill
b.
$0 your total bill
c.
$4,000 your total bill
d.
$300 your total bill
1.5 points
QUESTION 4
1. Had the bloodclot problem occured in February of the next
calendar year, how much of the bill would you have had to pay?

12. $1,500
$4,000
$0
$2,250
1 points
Click Save and Submit to save and submit. Click Save All
Answers to save all answers.
hw1
Inbox
x
QUESTION 1
1. Using the "Human Life Value" method, how much life
insurance should you purchase if you take into account 3%
annual inflation over the next 45 years until retirement, an
annual income of $61,500 received at the start of each years,
and a time value of money of 7%? (Assume 100% income
replacement and a marginal tax rate of 15%)
a.

13. $1,272,027
b.
$1,236,658
c.
$1,588,959.94
d.
$1,545,823
1 points
QUESTION 2
1. Using the "Desired Income" method, how much insurance
would be needed if you want to provide your survisors with a
real annual income of $55,000 at the beginning of each year?
(Assume a before-tax rate of return of 7%, a marginal tax rate
of 22%, and annual inflation rate of 3% per year.)
2.
a.
$2,535,620
b.
$2,301,255
c.
$1,833,333
d.
$1,007326
1 points
QUESTION 3
1. You are 40 years old and earn $65,000 annually. Based on a
multiple of income of 12, how much life insurance should you
purchase?
2.
a.

14. the answer is not given
b.
$650,000
c.
$1,300,000
d.
$780,000
1 points
QUESTION 4
1. Using the "Desired Income" method, if you want to provide
your survivors with a nominal annual income of $55,000 at the
beginning of each year, how much life insurance is needed
assuming your survivors can earn 7% interest annually?
Assume a combined tax rate of 22%.
2.
a.
$268,817
b.
$785,714
c.
$250,000
d.
$1,007,326
1 points
QUESTION 5
1. Using the "Human Life Value" method, how much life
insurance should you purchase if you have 45 years until
retirement, an annual income of $61,500 received at the start of
each years, and a time value of money of 7%? (Assume 80%
income replacement, ignore taxes and inflation.)

15. a.
$716,249
b.
$895,311
c.
$836,740
d.
$669,392