Answer:
The total amount to be paid on the $80,000 mortgage loan at an annual interest rate of 7.5% for 30 years is $201,895.20.
Explanation:
To calculate the total amount to be paid on the $80,000 mortgage loan, we can use the formula for calculating the monthly payment for a mortgage:
P = (Pv * r) / (1 - (1 + r)^-n)
where P is the monthly payment, Pv is the present value (in this case, $80,000), r is the monthly interest rate (which can be calculated by dividing the annual interest rate by 12), and n is the total number of payments (in this case, 30 years or 360 months).
First, we need to calculate the monthly interest rate:
r = (7.5% / 100) / 12 = 0.00625
Next, we can substitute the values into the formula and solve for P:
P = ($80,000 * 0.00625) / (1 - (1 + 0.00625)^-360) = $560.82 (rounded to the nearest cent)
So the monthly payment on the mortgage is $560.82. To find the total amount to be paid, we can multiply the monthly payment by the total number of payments:
Total amount to be paid = $560.82/month * 360 months = $201,895.20
Therefore, the total amount to be paid on the $80,000 mortgage loan at an annual interest rate of 7.5% for 30 years is $201,895.20.