Question

A young executive is going to purchase a vacation property for investment purposes. She needs to borrow $127,000.00 for 28 years at 4.3% compounded monthly, and will make monthly payments of $650.71. (Round all answers to 2 decimal places.)

What is the unpaid balance after 15 months? $


During this time period, how much interest did she pay? $

Answer 1

The unpaid balance after 15 months is $120,832.53. The young executive paid $356.01 in interest during the first 15 months of the loan.