The Nicols are buying a house selling for $435,000. They pay a down payment of $35,000 from the sale of their current house. To obtain a 20-year mortgage at a 6% interest rate, the Nicols must pay 1.5 points at the time of closing. a) What is the amount of the mortgage? b) What is the cost of the 15 points?

Advanced Engineering Mathematics
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ISBN:9780470458365
Author:Erwin Kreyszig
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Please answer A and B for Practice work explanation 

The Nicols are buying a house selling for $435,000. They pay a down
payment of $35,000 from the sale of their current house. To obtain a
20-year mortgage at a 6% interest rate, the Nicols must pay 1.5 points at
the time of closing.
a) What is the amount of the mortgage?
b) What is the cost of the 1.5 points?
a) The amount of the mortgage is $.
h
Transcribed Image Text:The Nicols are buying a house selling for $435,000. They pay a down payment of $35,000 from the sale of their current house. To obtain a 20-year mortgage at a 6% interest rate, the Nicols must pay 1.5 points at the time of closing. a) What is the amount of the mortgage? b) What is the cost of the 1.5 points? a) The amount of the mortgage is $. h
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