The Smith’s bank will charge them 3 points for a $320000 mortgage.
What is the amount of money they will pay for the points?
Each point costs 1% of the mortgage amount.
Multiply: $320,000 * 0.03 = ??
http://www.bankrate.com/brm/calsystem2/calculators/InterestVsPoints/default.aspx
Thanks
To find the amount of money the Smiths will pay for the points on their mortgage, we'll need to calculate 3% of the mortgage amount.
Step 1: Convert the percentage to decimal form.
Since 3% is expressed as 3 out of 100, we can convert it to decimal form by dividing it by 100: 3/100 = 0.03.
Step 2: Multiply the decimal form of the percentage by the mortgage amount.
Multiply 0.03 by the mortgage amount of $320,000: 0.03 x $320,000 = $9,600.
Therefore, the amount of money the Smiths will pay for the points on their mortgage is $9,600.