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anonymous

  • 5 years ago

You have just graduated from college and landed your first big job. You have always dreamed of being a homeowner, and after carefully shopping for your dream home, you find one that you would like to purchase at a cost of $250,000. After researching banks to find the best interest rate, you find that Banks for Homeowners offers the best rate of 6% interest that compounds monthly for 30 years. •What is the monthly payment for this loan? •What is the unpaid balance of the loan at the end of 5 years? •What is the unpaid balance at the end of the 10th year?

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  1. anonymous
    • 5 years ago
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    Do you want the whole derivation or just the formula

  2. anonymous
    • 5 years ago
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    I have the first part I need the 5 year and the 10 year equation

  3. anonymous
    • 5 years ago
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    D((1-(1+P)^-T)/P)

  4. anonymous
    • 5 years ago
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    D- monthly payment P- Interest rate

  5. anonymous
    • 5 years ago
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    I am usually pretty great at math but some reason this is getting to me. so you would take 250,000 (1+0.005)^-60/0.005

  6. anonymous
    • 5 years ago
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    I solved it here http://openstudy.com/users/imranmeah91#/users/imranmeah91/updates/4dca9ea340ec8b0b47ed0f17

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