O O O Note: Please make sure to properly format your answers. All dollar figures in the answers need to include the dollar sign and any amount over 1,000 should include the comma ($2.354.67). All percentage values in the answers need to include a percentage sign (%). For all items without specific rounding instructions, round your answers to two decimal places, show both decimal places (5.06). Show All Feedback If you borrow $220,000 at an APR of 3.5% for 25 years, you will pay $1,101.37 per month. If you borrow the same amount at the same APR for 30 years, you will pay $987.90 per month. a. What is the total interest paid on the 25-year mortgage? $110,411.00 b. What is the total interest paid on the 30-year mortgage? $135,644.00 ✔ c. How much more interest is paid on the 30-year mortgage? Round to the nearest dollar. d. If you can afford the difference in monthly payments, you can take out the 25-year mortgage and save all the interest from part c. What is the difference between the monthly payments of the two different mortgages? Round to the nearest dollar. O Icon Key yucuquiT OF O Check My Wo AD Check My Work J

O O O Note: Please make sure to properly format your answers. All dollar figures in the answers need to include the dollar sign and any amount over 1,000 should include the comma ($2.354.67). All percentage values in the answers need to include a percentage sign (%). For all items without specific rounding instructions, round your answers to two decimal places, show both decimal places (5.06). Show All Feedback If you borrow $220,000 at an APR of 3.5% for 25 years, you will pay $1,101.37 per month. If you borrow the same amount at the same APR for 30 years, you will pay $987.90 per month. a. What is the total interest paid on the 25-year mortgage? $110,411.00 b. What is the total interest paid on the 30-year mortgage? $135,644.00 ✔ c. How much more interest is paid on the 30-year mortgage? Round to the nearest dollar. d. If you can afford the difference in monthly payments, you can take out the 25-year mortgage and save all the interest from part c. What is the difference between the monthly payments of the two different mortgages? Round to the nearest dollar. O Icon Key yucuquiT OF O Check My Wo AD Check My Work J

ENGR.ECONOMIC ANALYSIS

14th Edition

ISBN:9780190931919

Author:NEWNAN

Publisher:NEWNAN

Chapter1: Making Economics Decisions

Section: Chapter Questions

Problem 1QTC

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Question

100%

TUNIS
geoiduzil.AT/-3.02
Note: Please make sure to properly format your answers. All dollar figures in the answers need to include the dollar sign and any amount over 1,000 should include the comma
($2,354.67). All percentage values in the answers need to include a percentage sign (%). For all items without specific rounding instructions, round your answers to two decimal
places, show both decimal places (5.06).
If you borrow $220,000 at an APR of 3.5% for 25 years, you will pay $1,101.37 per month. If you borrow the same amount at the same APR for 30 years, you will pay
$987.90 per month.
a. What is the total interest paid on the 25-year mortgage? $110,411.00
b. What is the total interest paid on the 30-year mortgage? $135,644.00
X
c. How much more interest is paid on the 30-year mortgage? Round to the nearest dollar.
d. If you can afford the difference in monthly payments, you can take out the 25-year mortgage and save all the interest from part c. What is the difference between the
monthly payments of the two different mortgages? Round to the nearest dollar.
X
M
Check My Work
Show All Feedback
Icon Key
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