How much interest is paid over the life of the loan

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1. You are purchasing a home for $145,000.In order to get a 30 year fixed mortgage rate of 4.5%, the bank requires a 20% down payment.

-b. What is the monthly payment?

3. How much interest is paid over the life of the loan

-2. Rae started saving money at an early age (10 years old). Each month, her mom put the money in an account that compounded annually at 5.75%. Now Rae is 23 and has $6936.72. How much did she save each month? (Assume she saved for a full 13 years).

-3. You have just started a new job that offers a retirement savings account. You have two options:

-You can invest 5% of your monthly wages at 2% OR You can invest 4% of your monthly wages at 4%. Both are compounded monthly.

- c. Assume that you will always make $40,000 annually, which plan will give you a better return after 25 years?

-5% of your monthly wages at 2%

-4% of your monthly wages at 4%

Reference no: EM132555073

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