# Math

This year (10 years after you first took out the loan), you check your loan balance. Only part of your payments have been going to pay down the loan; the rest has been going towards interest. You see that you still have \$108,123 left to pay on your loan. Your house is now valued at \$180,000.

How much of the original loan \$126,000.00 have you paid off? (i.e, how much have you reduced the loan balance by? Keep in mind that interest is charged each month - it's not part of the loan balance.)

is it? 126000-108123.00 =17877.00

or 1-(1+0.07/12)^-10*12= 0.50240373249137/

0.07/12= 0.0058333333333= 86.12*10*12=10335.16

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1. a farmer examines 25 cartons of eggs 3 contain cracked eggs whats the best prediction that in the number of cracked eggs in the delivery of 500

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2. I am glad to see that the present value of the house of \$180,000 has nothing to do with the rest of the question.

You also did not state what the rate of interest is, but from you partial solution I will surmise it is 7%

126000-108123.00 =17877.00

The obvious question, which you did not ask, would be:
What was the monthly payment?

monthly rate = .07/12 = .005833...
monthly payment ---- p
n = 120

so ....
126000(1.00583333..)^120 - p(1.005833...^120 - 1)/.0058333... = 108,123
I get p = \$838.28

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