Based on Exhibit 9-9, or using a financial calculator, what would be the monthly mortgage payments for each of the following situations?
A. $40,000, 15-year loan at 4.5 percent.
B. $76,000, 30-year loan at 5 percent
C. $65,000, 20-year loan at 6 percent
What relationship exists between the length of the loan and the monthly payment? How does the mortgage rate affect the monthly payment?