What is the total interest paid on the loan

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Reference no: EM131989623

1. Assume that you buy a house for $175,000 using a 30-year fixed interest mortgage at a rate of 6.5% with monthly payments. Build the first three rows of the amortization table for the loan. What is the total interest paid on the loan?

2. John plans to buy a vacation home in 7 years from now and wants to have saved $75,791 for a down payment. How much money should he place today in a saving account that earns 8.12 percent per year (compounded daily) to accumulate money for his down payment? Round the answer to two decimal places.

Reference no: EM131989623

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