Question

@Hero @Vocaloid I think my course messed up their study guide lol

Answer 1

11) Calculate the monthly payment for a home mortgage of $99,000 with a fixed APR of 3.6% for 15 years.

\[PMT = A \times \frac{ \frac{ APR }{ n} }{ (1+ \frac{ APR }{ n } )^{nY} - 1}\]

Answer 2

PMT is the monthly payment.
A is the home mortgage
APR is 0.036
n is 12
Y is 15

For three problems in a row, the answer I've gotten hasn't been one of the choices. The answer key has $712.61 as the answer. I tried the problem a couple different ways and even used a different calculator. Same answer.

Just want to see if you get the same. I got $415.61

Answer 3

I have to head off to class but I'll be back in about an hour and a half. I can see about the other problems then...

Answer 4

Using the formula you posted, I get \$415.61. Same as what you got. I'd rather see the original documentation from your textbook, worksheet or online account to see if there are any inconsistencies with what you've posted here.

Answer 5

the exponent in the denominator should be negative
using the correct formula I get $712.61

Answer 6

I knew there was an inconsistency

Answer 7

Yeah that makes sense. Let me check the slides to see if I copied it wrong. I remember using the negative sign before in this class.

Answer 8

On the slides there is no negative sign. What the heck...

Answer 9

Thanks guys

Answer 10

It was a secret challenge from your teacher. Finding the inconsistency gives you a cheat code to passing the course.

Answer 11

Lol