A 30-year mortgage requires payments of $3,541.80 at the end of each month. If interest is 2.71% compounded annually, a) what was the mortgage principal? $ b) what would be the amount of interest charged? $

A 30-year mortgage requires payments of $3,541.80 at the end of each month. If interest is 2.71% compounded annually, a) what was the mortgage principal? $ b) what would be the amount of interest charged? $

Pfin (with Mindtap, 1 Term Printed Access Card) (mindtap Course List)

7th Edition

ISBN:9780357033609

Author:Randall Billingsley, Lawrence J. Gitman, Michael D. Joehnk

Publisher:Randall Billingsley, Lawrence J. Gitman, Michael D. Joehnk

Chapter7: Using Consumer Loans

Section: Chapter Questions

Problem 7FPE: Calculating interest and APR of installment loan. Assuming that interest is the only finance charge,...

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Question

A 30-year mortgage requires payments of $3,541.80 at the end of each month. If interest is
2.71% compounded annually,
a) what was the mortgage principal? $
b) what would be the amount of interest charged? $

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