To calculate the monthly payment and total interest for a loan of $89,000 at 5.7% for 30 years, we can use the formula for the monthly payment of a fixed-rate mortgage loan:
P = L[c(1 + c)^n]/[(1 + c)^n - 1]
where P is the monthly payment, L is the loan amount, c is the monthly interest rate (which is the annual interest rate divided by 12), and n is the total number of monthly payments (which is the number of years multiplied by 12).
Plugging in the given values, we have:
L = $89,000
r = 5.7% = 0.057 (monthly interest rate)
n = 30 years * 12 months/year = 360 months
P = ($89,000)[0.057(1 + 0.057)^360]/[(1 + 0.057)^360 - 1]
P = $515.92 (rounded to the nearest cent)
Therefore, the monthly payment is $515.92.
To calculate the total interest, we can subtract the loan amount from the total amount paid over the life of the loan. The total amount paid is equal to the monthly payment times the total number of payments:
Total amount paid = P * n = $515.92 * 360 = $185,731.20
Total interest = Total amount paid - Loan amount = $185,731.20 - $89,000 = $96,731.20
Therefore, the total interest paid over the life of the loan is $96,731.20.