Rate = 5 /1,200 =
<span>
<span>
<span>
0.0041666667
</span>
</span>
</span>
Monthly payment = (rate + (rate / [(1+rate)^months -1])) * principal
Monthly payment =
<span>
<span>
<span>
0.0041666667
</span>
</span>
</span>
+ (
<span>
<span>
<span>
0.0041666667
</span>
</span>
</span>
/ <span>((1.0041666667^120)-1</span>) * principal
Monthly payment =
<span>
<span>
0.0041666667
</span>
</span>
+ (
<span>
<span>
0.0041666667
</span>
/</span> <span><span><span>0.6470094977
</span>
</span>
</span>
) * principal
Monthly payment =
(<span>0.0041666667 +</span><span> </span>
<span>
<span>
<span>
0.0064398849
</span>
</span>
</span>
<span><span>
</span>
</span>
<span><span><span>) * 275,325
</span>
</span>
</span>
<span>
</span>
Monthly payment =
<span>
<span>
<span>
0.0106065515
</span>
</span>
</span>
<span>
* 275,325
</span>Monthly payment = <span><span><span>2,920.2</span></span></span>5