Loans pays off sooner, Which of the following loans pays

Loans pays off sooner

Assignment Help Financial Management

Reference no: EM131878355

Which of the following loans pays off sooner?

Loan 1: $175,000; 8% annual interest; 30 years (monthly PMT), with an extra $375 per month in principle payment.

Loan 2: $175,000; 7% annual interest; 15 years (monthly PMT)

f. How much TOTAL (principle and interest) will be paid over the life of the following loan: $185,000 loan; 7% annual interest (monthly payments); 30 years?

g. For a loan of $160,000 at 7% annual interest, monthly payments, for 30 years, how much total interest will be paid over the life of the loan?

h. For a loan of $175,000, 8% interest (annual); 30 years (with monthly payments), if you pay an extra $400 per month, in what time period will you pay off the loan?

i. For a loan of $250,000 at 6% annual interest, with monthly payments over 15 years, if you pay an additional $100 in principle per month, how much total interest will you pay over the life of the loan?

j. If you pay an extra $75 per month in principle, how much LESS interest will you pay over the life of the following loan: Loan amount--$180,000; 30 years (monthly PMT); 7% annual rate of interest?

Please answer all or none.

Reference no: EM131878355

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