Question

Consider the mortgage loan of $150,000 at a nominal 6% yearly interest applied monthly at a rate of .5% per month. Monthly payments of $1,000 are being made on this loan. Evaluate how much is owed after 1 month.

Answer 1

the interest is .005*150000 = $750
so, only $250 is subtracted from the principal.

Answer 2

15111

Answer 3

I am also confused by this question. Please help me.