your answer is incorrect
a couple of on-line mortgage calculators say ... $1,997
from the Mortgage Professor (online)
The following formula is used to calculate the fixed monthly payment (P) required to fully amortize a loan of L dollars over a term of n months at a monthly interest rate of c. [If the quoted rate is 6%, for example, c is .06/12 or .005].
P = L[c(1 + c)n]/[(1 + c)n - 1]
Did I solve correctly? If my answer is wrong, can somebody show I how to solve the question?
Your home mortgage is $300,000 for 30 years with annual interest rate of 7%. Calculate the monthly
payment.
300,000*(.07/((1+.07)^30)-1))= 3,175.92
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