Question

Please help me learn how to solve ... I need help asap In order to purchase a home, a family borrows $159,000 at 6.5% for 30 years. Use the table to find their monthly payment. Round the answer to the nearest cent.

Answer 1

http://media.education2020.com/evresources/2039804_ba85aea2-f77a-430f-bc09-2d7d46384cca.png

Answer 2

Could you please specify which kind of borrowing ,as far as I know we can have up to at least 3
- 6.5% a year, but always 6.5% of $159K
- 6.5% a year, add that sum to $159K, then 6.5% of that sum, then continue
- 6.5% a year, pay 1/3 of them each year, for 30 year :)

Answer 3

1/30 *

Answer 4

well i added a link to the chart that goes with the question

Answer 5

a.
$954.00
c.
$1,186.14
b.
$1,006.47
d.
$1,276.36

these are the options

Answer 6

according to the table, for $1000 at interest 6.5% of 30 years, monthly payment is $6.33
hence for $159 000, we need $6.33*159=$1006.47
hope this help

Answer 7

ok thank u , umm i have a couple questions like this so i would really appreciate it if u told me how u solved that !!

Answer 8

I checked in the table, they borrow for 30 years so I looked for the 30 years column. Then I look for the row with the correct interest which is 6.5% in this case, and I found $6.33.
If the table if yearly interest, I will have to divide it for 12 since the question asked for monthly.
But lucky they are both monthly so all you have to do is multiple it.
The $6.33 is for each $1000 you borrow, so if you borrow $159 000, you have to multiple it for 159 :)

Answer 9

how did u get 6.33?

Answer 10

as I said, the question gave us 2 information, they borrow for 30 years, with interest of 6.5%
take the column of 30 years, search for row of 6.5% inside that column, and you will got it

Answer 11

ok i think i got it !! thank you soo much for all ur help :))))

Answer 12

np :)

Answer 13

i dont think im getting it .. i cant seem to get the right answers for any of the other ones

Answer 14

You have just applied, and have been approved for a $175,000 mortgage. The rate quoted to you by the lender is 5.5% for a 30 year fixed mortgage. Use the provided table to determine how much of your first month’s payment goes towards the principal.

Answer 15

http://media.education2020.com/evresources/2039801_2ce7f035-eccd-4ad5-a9ba-c90c78a42bfd.png

Answer 16

a.
$191.92
c.
$187.32
b.
$190.23
d.
$184.88