Question

The Henley's took out a loan for $195,000 to purchase a home. At a 4.3% interest rate

Answer 1

The interest he needs to pay $494546.986 after 30 years.

Step-by-step explanation:

Given,

Principal (P) = $195000

Rate of interest (R) = 4.3%

Time (T) = 30 years

To find the amount he needs to pay after 30 years.

Formula

A = P$(1+\frac{R}{100}) ^{T}$

Now,

Putting,

P = 195000, T = 30 and R = 4.3 we get,

A = 195000$(1+\frac{4.3}{100} )^{30}$

= 689546.986

So,

The interest he needs to pay = $(689546.986-195000)

= $494546.986