A restaurant manager has the option of a 30-year loan of $419,000 at an annual interest rate of 3.85% or the same interest rate but on a loan for 15 years. (a) Calculate the monthly payment for each loan. (Round your answers to the nearest cent.) 30-year$ 15-year$ (b) Calculate the savings in interest by using the 15-year loan. (Round your answer to the nearest cent.) $ (c) The term of the 15-year loan is one-half the term of the 30-year loan. Is the monthly payment for the 15-year loan twice that of the 30-year loan? YesNo (d) Is the interest savings for the 15-year loan more or less than one-half of the interest paid on the 30-year loan? moreless
A restaurant manager has the option of a 30-year loan of $419,000 at an annual interest rate of 3.85% or the same interest rate but on a loan for 15 years. (a) Calculate the monthly payment for each loan. (Round your answers to the nearest cent.) 30-year$ 15-year$ (b) Calculate the savings in interest by using the 15-year loan. (Round your answer to the nearest cent.) $ (c) The term of the 15-year loan is one-half the term of the 30-year loan. Is the monthly payment for the 15-year loan twice that of the 30-year loan? YesNo (d) Is the interest savings for the 15-year loan more or less than one-half of the interest paid on the 30-year loan? moreless
Advanced Engineering Mathematics
10th Edition
ISBN:9780470458365
Author:Erwin Kreyszig
Publisher:Erwin Kreyszig
Chapter2: Second-order Linear Odes
Section: Chapter Questions
Problem 1RQ
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Question
A restaurant manager has the option of a 30-year loan of $419,000 at an annual interest rate of 3.85% or the same interest rate but on a loan for 15 years.
(a)
Calculate the monthly payment for each loan. (Round your answers to the nearest cent.)
30-year$ 15-year$
(b)
Calculate the savings in interest by using the 15-year loan. (Round your answer to the nearest cent.)
$
(c)
The term of the 15-year loan is one-half the term of the 30-year loan. Is the monthly payment for the 15-year loan twice that of the 30-year loan?
YesNo
(d)
Is the interest savings for the 15-year loan more or less than one-half of the interest paid on the 30-year loan?
moreless
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