how much money will be spent in interest alone over the course of the 5% 30 - year mortgage described in the…

how much money will be spent in interest alone over the course of the 5% 30 - year mortgage described in the table?\nmortgage payments\nprincipal: $180,000.00\ninterest rate monthly payment\n3.5% $808\n5% $966\n6% $1079

how much money will be spent in interest alone over the course of the 5% 30 - year mortgage described in the table?\nmortgage payments\nprincipal: $180,000.00\ninterest rate monthly payment\n3.5% $808\n5% $966\n6% $1079

Answer

Explanation:

Step1: Calculate total payments

The mortgage is for 30 years. Since there are 12 months in a year, the total number of months $n = 30\times12=360$. The monthly payment at 5% interest rate is $966$. So the total amount paid over 30 years is $966\times360$. $966\times360 = 347760$

Step2: Calculate interest amount

The principal amount of the mortgage is $180000$. The interest amount is the total amount paid minus the principal. $I=347760 - 180000$ $I = 167760$

Answer:

$167760$