Questions: 1. You are buying a home for 400,000 with a 10% down payment. The annual interest rate is 6% and the mortgage term is 20 years calculate the monthly mortgage payment Questions 2: create a monthly budget that Includes the mortgage payment, property taxes ( 4,800 annually ),utilities and other personal expenses.Ensure that the total expenses do not go over 3,500 per month

## Step 1: Calculate the Loan Amount### The down payment is of 400,000 0.10 \times \ 40,000 \ 40,000 = \ .## Step 2: Calculate the Monthly Interest Rate### The annual interest rate is . To find the monthly rate, divide by 12: .## Step 3: Calculate the Number of Payments### The mortgage term is 20 years. Since there are 12 months in a year, the total number of payments is .## Step 4: Calculate the Monthly Mortgage Payment### We use the formula for monthly mortgage payment: , where is the monthly payment, is the loan amount, is the monthly interest rate, and is the number of payments. Plugging in the values, we get: 360,000 \frac{0.005(1+0.005)^{240}}{(1+0.005)^{240} - 1} = \ 360,000 \frac{0.016551}{2.3102} \approx \ .## Step 5: Create a Monthly Budget### Given a total monthly expense limit of 3,500 \ * Property Taxes: 4,800}{12} = \ * Utilities (Estimate): 300 \ 2568.02 - \ 300 = \