Finance

posted by YaYa

You are considering borrowing $150,000 to purchase a new
home.
a. Calculate the monthly payment needed to amortize an 8
percent fixed-rate 30-year mortgage loan.
b. Calculate the monthly amortization payment if the loan in (a)
was for 15 years.

  1. Damon

    http://www.mortgagecalculator.org/

    pmt = principal [ r/ {1 - (1+r)^-n} ]

    here
    principal = 150,000
    r = interest rate / month = .08/12 =.006666666
    n = 12 * 30 = 360 months

    I get
    1100.65 per month
    that calculator link also says 1100.65

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