1. Suppose you take out a 30-year mortgage for $207,418 at an annual interest rate of...

1. Suppose you take out a 30-year mortgage for $207,418 at an annual interest rate of 3.1%. After 20 years, you refinance to an annual rate of 2.0%. How much interest did you pay on this loan?

Round your answer to the nearest dollar.

_____________________

2. Consider a 20-year mortgage for $183,858 at an annual interest rate of 4.9%. After 10 years, the mortgage is refinanced to an annual interest rate of 2.9%. What are the monthly payments after refinancing?

Round your answer to the nearest dollar.

Solutions

Expert Solution

Please refer to below spreadsheet for calculation and answer. Cell reference also provided.

Cell reference -

jeff jeffy answered 1 year ago

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