Question

Jill Barkely obtained a 25-year, $460,000 mortgage loan from University Savings and Loan Association with 6% interest. The monthly payment is $2,962.40. For the first payment, find the payment to principal to the nearest cent.

Answer 1

First find the interest
I=prt
I=460,000×0.06×(1÷12)
I=2,300

The payment to principal is
Monthly payment-interest
2,962.40−2,300
=662.4

Hope it helps!