You can save a significant amount of mortgage interest paid if you make one additional principal and interest payment a year. This will reduce a 30-year mortgage by around 6 years. It also increases your equity in the home faster. If you choose to pay one additional mortgage payment a year by paying 1/12 of it each month (make certain to note the extra money is to reduce principal), how much will you pay each month for a mortgage of $155,000 at 5% for 19 years? (Do not round intermediate calculations. Round your answer to 2 decimal places.) Monthly payment
You can save a significant amount of mortgage interest paid if you make one additional principal and interest payment a year. This will reduce a 30-year mortgage by around 6 years. It also increases your equity in the home faster. If you choose to pay one additional mortgage payment a year by paying 1/12 of it each month (make certain to note the extra money is to reduce principal), how much will you pay each month for a mortgage of $155,000 at 5% for 19 years? (Do not round intermediate calculations. Round your answer to 2 decimal places.) Monthly payment
PFIN (with PFIN Online, 1 term (6 months) Printed Access Card) (New, Engaging Titles from 4LTR Press)
6th Edition
ISBN:9781337117005
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 4FPE
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![Word problem 18-17 [LU 18-1 (2)]
You can save a significant amount of mortgage interest paid if you make one additional principal and
interest payment a year. This will reduce a 30-year mortgage by around 6 years. It also increases your
equity in the home faster. If you choose to pay one additional mortgage payment a year by paying 1/12 of it
each month (make certain to note the extra money is to reduce principal), how much will you pay each
month for a mortgage of $155,000 at 5% for 19 years? (Do not round intermediate calculations. Round
your answer to 2 decimal places.)
Monthly payment $](/v2/_next/image?url=https%3A%2F%2Fcontent.bartleby.com%2Fqna-images%2Fquestion%2Fc7fe5a73-45e4-4166-8ba1-50e355550dfc%2Fce265216-7b84-424f-9b9c-ab01b6fc5541%2Fvo0jhdo_processed.jpeg&w=3840&q=75)
Transcribed Image Text:Word problem 18-17 [LU 18-1 (2)]
You can save a significant amount of mortgage interest paid if you make one additional principal and
interest payment a year. This will reduce a 30-year mortgage by around 6 years. It also increases your
equity in the home faster. If you choose to pay one additional mortgage payment a year by paying 1/12 of it
each month (make certain to note the extra money is to reduce principal), how much will you pay each
month for a mortgage of $155,000 at 5% for 19 years? (Do not round intermediate calculations. Round
your answer to 2 decimal places.)
Monthly payment $
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