Calculator Problem – 12/02/2013

You purchase a mobile home and lot for $15,000.  You rent the home for $600 and keep half after expenses and vacancy.  If the mobile home only lasted for 7 years and you lost the lot, what would be your return?

(The answer will be posted with the new calculator problem in 2 weeks. Or if you can’t wait that long, you can go to https://www.facebook.com/garyjohnstonseminars for the answer.)

Answer for 11/18/2013 problem:

(I=2.58%,PV=176,000,PMT= -750, FV=0) N=326.98
Use amortization function to find balance at 120 months = $125,189.17
Or
(N=120,I=2.58%,PV=176,000,PMT= -750) FV = $125,189.25