Question

You have decided to refinance your mortgage. You plan to borrow whatever is outstanding on your current mortgage. The current monthly payment is $2,356 and you have made every payment on time. The original term of the mortgage was 30​ years, and the mortgage is exactly four years and eight months old. You have just made your monthly payment. The mortgage interest rate is ​6.750% (APR). How much do you owe on the mortgage​ today? ​(Note: Be careful not to round any intermediate steps less than six decimal​ places.) The amount you owe today is ​$

Answer 1

Answer :-

$360,652.60

..

Explanations :-

P= Regular Payments

PV = Loan Amount

r = Rate of interest

P= $2356

PV = ?

r= 6.75% annually

n= 30 × 12=360

P = r(PV) / 1-(1/1+r)^n

$2356 = (6.75%/12 × PV) / 1- (1/ 1 + 6.75%/12 )^360

$2356 = 0.005625 (PV) / 1 -.10613982

$2356 = 0.005625 (PV) / 0.8938601

$2356 × 0.8938601= 0.005625 (PV)

2105.93456 = 0.005625 (PV)

PV = 2105.93456 / 0.005625

PV = $374,388.366

Intrest payment table is as follows by using microsoft ecxel :-