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Fudgin [204]
3 years ago
12

What is the total monthly payment for this mortgage?

Social Studies
2 answers:
Orlov [11]3 years ago
8 0
The answer is 1,011.66 dollars.
Solution:
You will just need to add all the expenses.
But you need to take note that in the table, you can see that there are two factors labeled in years. So you will just divide them by 12.
=750+ 120+ (0.005 x140000 / 12) + (460/12) + 45
=870+(700/12) + 38.33 + 45
=953.33 + 58.33
=1011.66

liberstina [14]3 years ago
8 0

Answer:

The total monthly payment for this mortgage is of $1,011.66.

Explanation:

Monthly expenses are:

-Principal payment: $750

-Interests: $120

-PMI: $45

There are also annual expenses, that are paid every month at a 1/12 of its value:

-Property tax: $700 (0.5% of 140,000) --- 700/12: $58.33 per month

-Home insurance: $460 --- 460/12: $38.33 per month

Therefore, by adding all the monthly expenses plus the twelfth parts of the annual expenses, the total monthly payment for this mortgage would be of $1,011.66.

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