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Rom4ik [11]
4 years ago
7

James wants to take out a loan. He can afford to make monthly payments of 200 dollars and wants to pay the loan off after exactl

y 20 years. What is the maximum amount that James can afford to borrow if the bank charges interest at an annual rate of 6 percent, compounded monthly
Business
1 answer:
MA_775_DIABLO [31]4 years ago
4 0

A  = $250000 * (1 + 0.06/12)^(12 * 1/6)  

≈ $252506.25

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