Brady has a 20-year fixed rate mortgage for $215,500 with monthly payments of $1,305.89. The annual interest rate is 4%. What is the total cost of the principal and interest for this loan rounded to the nearest dollar?

Question

anonymous · Answer

Do you know the formula?

anonymous · Answer

no i need it

anonymous · Answer

$$A=P(1+\frac{r}{n})^{nt}$$

anonymous · Answer

A is the amortization (or final), P is principal, r is rate, n is the number of terms and t is time.

anonymous · Answer

I should qualify, t is in years. The n works out the monthly part.

anonymous · Answer

i got 478966.44

anonymous · Answer

I don't have a calculator handy, but this is how I'd set it up: $$A=$215,000(1=\frac{.04}{12})^{12*20}$$

anonymous · Answer

Ok, I guess I *do* have it on the os. :) Gonna help the toddler get ready for bed, though.

anonymous · Answer

alright thanks anyways i appreciate it

anonymous · Answer

No prob, let me know if that works out to the same number.

anonymous · Answer

will do