Amount Financed(P) = $ 128,000
Time = 15 year
Rate of interest= 5.05%
Amount after 15 years translates to,
Rose and Andrew has taken four points to lower their rate to 4.81% .
Amount after 15 years translates to, if rate of interest is 4.83 %
Cost of four points = 268,009.890 - 259,713.0404
= $8296.8496
Answer:
Bryce is wrong in step 1 because he did not distribute 3 over 5/3
Explanation
Given the steps taken by bryce as shown, we are to find where he made an error
Given the expression;
Step 1:Expand the bracket using the distributive law;
8/3 = 3c + 3(5/3)
<em>Simplify</em>
8/3 = 3c + 15/3
Step 2: Subtract 15/3 from both sides
8/3 - 15/3 = 3c+15/3-15/3
(8-15)/3 = 3c
-7/3 = 3c
Step 3: Multiply both sides by 1/3
-7/3 * 1/3 = 3c * 1/3
-7/9 = c
Swap
c = -7/9
From the calculation, we can see that Bryce is wrong in step 1 because he did not distribute 3 over 5/3 thereby making his solution incorrect