Sharon Fox decided to buy a home in Marblehead Massachusetts for $275000. Her

Sharon Fox decided to buy a home in Marblehead Massachusetts for $275000. Her bank requires a 30% down payment. Sue Willis an attorney has notified
Sharon that besides the 30% down payment there will be the following additional costs:

Recording of the deed

$ 30.00

A credit and appraisal report

155.00

Preparation of appropriate documents

48.00

A transfer tax of 1.8% of the purchase price and a loan origination fee of 2.5% of the mortgage amount

Assume a 30-year mortgage at a rate of 10%.

a. What is the initial amount of cash Sharon will need?

b. What is her monthly payment?

c. What is the total cost of interest over the life of the mortgage?