Mathematics
miaing02
2016-04-14 23:58:12
What is the monthly payment for $280000 mortgage with an interest of 6% compounded monthly for 20 years?
ANSWERS
Kingstonrec
2016-04-15 04:24:50

The formula of the present value of an annuity ordinary is Pv=pmt [(1-(1+r/k)^(-kn))÷(r/k)] Pv present value 280000 PMT monthly payment? R interest rate 0.06 K compounded monthly 12 N time 20 years Solve the formula for PMT PMT=pv÷[(1-(1+r/k)^(-kn))÷(r/k)] PMT=280,000÷((1−(1+0.06÷12)^( −12×20))÷(0.06÷12)) =2,006.01

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