X + y = 4...x = 4 - y
2x + 3y = 0
2(4-y) + 3y = 0
8 - 2y + 3y = 0
-2y + 3y = 0 - 8
y = -8
x + y = 4
x - 8 = 4
x = 4 + 8
x = 12
solution is : (12,-8)
Given that
starting outstanding balance = $150000
rate of interest = 7.5% per year
so rate of interest for 1 month = (7.5/12)% = 0.635%
outstanding balance before 1st monthly payment = starting outstanding balance + 0.625% of interest on starting outstanding balance
= 150000 + (0.625 /100) × 150000
= 150000 + 937.5 = $150937.5
Reduction = outstanding balance after one month - first monthly payment
Reduction = $150937.5 - 1010.10 = 149927.40
so out of first payment of $1,010.10 , $937.5 goes towards interest and remaining $72.6 goes towards reduction of principal that is 150000 - $72.6 = 149927.40.
so correct option is B that is $149927.40.
We can check this by seeing if Pythagorean's theorem applies. The longest side is the hypotenuse, so let's see if this is true:
This is, indeed correct, thus, this
<em>is </em><em>
a right triangle.</em>