Please Help
posted by shirley on .
Suppose that you want to purchase a home for $450,000 with a 30 year mortgage at 6% interest. Suppose that you can put 40% down. Assume that the monthly cost to finance $1,000 is $6.00. What is the total amount of interest paid on the 30 year loan?

Po = 450,000  0.4*450,000 = $270,000 =
Amt. of loan.
P+I=$270,000 * $6.00/$1000 = $1620/mo.
Tot.(P+I). = 1620/mo * 360mo = $583,200
Tot.Int = 583,200  270,000 = $313,200