Examine the loan amortization table for the last 5 months of a $500,000, 15-year mortgage with an APR of 5.75%.
a.
a.
179
180
C.
39.51
19.80
a.
Some helpful information: Monthly Payment = Amount Towards Interest + Amount Towards Principal
Ending Balance = Beginning Balance - Amount Towards Principal
The Ending Balance from one month becomes the Beginning Balance for the next month
a)
b)
c)
d)
e)
The mortgage loan is totally paid off :)