Question

The difference between the monthly payments on a $120,000 home at 6 ½ percent versus 8% for 25 years is:
a)$81.12
b)$151.02
c)$115.20
d)$91.12
e)None of these

Answer 1

If both of them are for a term of 25 years, I get 810.25 and 926.18 for a difference of $115.93.
You'll decide to choose between c or e.
The formula I used is
Amount=120000*(1+r/12)^(300)*(r/12)/((1+r/12)^300-1)