1answer.
Ask question
Login Signup
Ask question
All categories
  • English
  • Mathematics
  • Social Studies
  • Business
  • History
  • Health
  • Geography
  • Biology
  • Physics
  • Chemistry
  • Computers and Technology
  • Arts
  • World Languages
  • Spanish
  • French
  • German
  • Advanced Placement (AP)
  • SAT
  • Medicine
  • Law
  • Engineering
liraira [26]
3 years ago
11

The Johnsons are buying their first home. They are contemplating two similar loans. The first is a 30-year loan for $150,000 at

an interest rate of 4.1% APT compounded monthly. the second is a 20-year loan for a $150,000 at an interest rate of 3.9% APR compounded monthly. what is the total amount the Johnsons will pay by the end of the 20-year loan and by the end of the 30-year loan?
Mathematics
1 answer:
OLEGan [10]3 years ago
7 0

Johnson's will pay by the end of the 20-year loan $326,807.25

Johnson's will pay by the end of the 30-year loan $512,109.68

Step-by-step explanation:

The formula for compound interest, including principal sum is

A=P(1+\frac{r}{n})^{nt} , where:

  • A is the future value of the investment/loan, including interest
  • P is the principal investment amount (the initial deposit or loan amount)
  • r is the annual interest rate (decimal)
  • n is the number of times that interest is compounded per unit t
  • t is the time the money is invested or borrowed for

The Johnson's are buying their first home. They are contemplating

two similar loans

The first is a 30-year loan for $150,000 at an interest rate of 4.1% APT

compounded monthly

∴ P = $150,000

∴ r = 4.1% = (4.1/100) = 0.041

∴ n = 12 ⇒ compounded monthly

∴ t = 30

- Substitute all of these values in the formula above

∴ A=150,000(1+\frac{0.041}{12})^{(12)(30)}

∴ A = $512,109.68

Johnson's will pay by the end of the 30-year loan $512,109.68

The second is a 20-year loan for a $150,000 at an interest rate of 3.9%

APR compounded monthly

∴ P = $150,000

∴ r = 3.9% = (3.9/100) = 0.039

∴ n = 12 ⇒ compounded monthly

∴ t = 20

- Substitute all of these values in the formula above

∴ A=150,000(1+\frac{0.039}{12})^{(12)(20)}

∴ A = $326,807.25

Johnson's will pay by the end of the 20-year loan $326,807.25

Learn more:

You can learn more about interest in brainly.com/question/12773544

#LearnwithBrainly

You might be interested in
What is the scientific notation 3,400,000,000
Diano4ka-milaya [45]
3.4^9 is the answer/.............
6 0
3 years ago
You are facing West. Turn 90 degrees left. Turn 180 degrees
makkiz [27]

You would be facing Northeast.

6 0
2 years ago
I can write numerical expressions involving whole-number exponents
DerKrebs [107]

Answer:

yes

Step-by-step explanation:

nothing much u have to do like what ur teacher said

7 0
3 years ago
An 18 tip is left on an $84 dinner bill. Write 2 different expressions that can be used to determine the total paid for dinner
motikmotik

Answer:

4.66666667

Step-by-step explanation:

8 0
3 years ago
PLS HELP ASAP<br><br> BRAINLIEST
mylen [45]
The answer is 72°
18 x 2 = 36°
180 - 36 = 144°
144 / 2 = 72°
5 0
2 years ago
Other questions:
  • Beth read a total of 12 books over 7 months.
    6·2 answers
  • How to solve this problem
    7·1 answer
  • What is the inequality's answer −8x+44≥60 AND−4x+50&lt;58
    15·2 answers
  • I need help understanding this please <br> ANSWER ASAP!!!!!!!!!
    13·2 answers
  • There are 600 seats in the jefferson middle school auditorium. the students are using 2/3 of the seats. There are 25 seats being
    8·1 answer
  • Solve this for 25 points !!! Solve the word one (#7) Be fast pls
    6·2 answers
  • What are the coordinates of point A? <br> A. (4.5,1)<br> B. (4.5,0.5)<br> C. (5,0.5)<br> D. (5,1)
    5·1 answer
  • Without finding the quotient, is the value of the expression (-3 1/3 + 3 1/2) ÷ (-1/4) positive or negative? Explain.
    13·1 answer
  • Plz help will give brainlest
    9·1 answer
  • Solve one and two tenths plus eight and one eighteenth
    14·1 answer
Add answer
Login
Not registered? Fast signup
Signup
Login Signup
Ask question!