Phil Pittman is interested in a fixed-rate mortgage for $300,000. He is undecided whether to choose a 15- or 30-year mortgage. The current mortgage rate is 4.5% for the 15-year mortgage and 5% for the...


Phil Pittman is interested in a fixed-rate mortgage for $300,000. He is undecided whether to choose a 15- or 30-year mortgage. The current mortgage rate is4.5%
for the 15-year mortgage and5%
for the 30-year mortgage.
(Round your answers to the nearest dollar. Use this table, if necessary.)



(a)


What are the monthly principal and interest payments (in $) for each loan?

15-year mortgage $________

30-year mortgage $________






(b)


What is the total amount of interest (in $) paid on each loan?

15-year mortgage$ _______

30-year mortgage$ _______






(c)


Overall, how much more interest (in $) is paid by choosing the 30-year mortgage?

$



Table 14-1: Monthly Payments to Amortize Principal and Interest per $1,000 Financed<br>Monthly Payments<br>(Necessary to amortize a loan of $1,000)<br>Interest<br>Rate (%)<br>3.50<br>5<br>10<br>15<br>20<br>25<br>30<br>35<br>40<br>Years<br>Years<br>9.89<br>10.01<br>Years<br>Years<br>Years<br>Years<br>Years<br>Years<br>18.19<br>7.15<br>5.80<br>5.01<br>4.49<br>4.13<br>3.87<br>3.75<br>18.30<br>7.27<br>5.93<br>5.14<br>4.63<br>4.28<br>4.03<br>4.00<br>18.42<br>10.12<br>7.40<br>6.06<br>5.28<br>4.77<br>4.43<br>4.18<br>18.53<br>18.64<br>4.58<br>4.73<br>4.25<br>10.24<br>7.52<br>6.19<br>5.42<br>5.56<br>4.92<br>4.34<br>4.50<br>10.36<br>7.65<br>6.33<br>5.07<br>4.50<br>4.75<br>18.76<br>10.48<br>7.78<br>6.46<br>5.70<br>5.22<br>4.89<br>4.66<br>5.00<br>18.87<br>10.61<br>7.91<br>6.60<br>5.85<br>5.37<br>5.05<br>4.82<br>5.25<br>18.99<br>10.73<br>8.04<br>6.74<br>5.99<br>5.52<br>5.21<br>4.99<br>5.50<br>19.10<br>10.85<br>8.17<br>6.88<br>6.14<br>5.68<br>5.37<br>5.16<br>5.75<br>19.22<br>10.98<br>8.30<br>7.02<br>6.29<br>5.84<br>5.54<br>5.33<br>6.00<br>6.25<br>19.33<br>11.10<br>8.44<br>7.16<br>6.44<br>6.00<br>5.70<br>5.50<br>19.45<br>11.23<br>8.57<br>7.31<br>6.60<br>6.16<br>5.87<br>5.68<br>6.50<br>19.57<br>11.35<br>8.71<br>7.46<br>6.75<br>6.32<br>6.04<br>5.85<br>6.75<br>19.68<br>11.48<br>8.85<br>7.6<br>6.91<br>6.49<br>6.21<br>6.03<br>7.00<br>19.80<br>11.61<br>8.99<br>7.75<br>7.07<br>6.65<br>6.39<br>6.21<br>7.25<br>19.92<br>11.74<br>9.13<br>7.90<br>7.23<br>6.82<br>6.56<br>6.40<br>7.50<br>20.04<br>11.87<br>9.27<br>8.06<br>7.39<br>6.99<br>6.74<br>6.58<br>7.75<br>20.16<br>12.00<br>9.41<br>8.21<br>7.55<br>7.16<br>6.92<br>6.77<br>8.00<br>20.28<br>12.13<br>9.56<br>8.36<br>7.72<br>7.34<br>7.10<br>6.95<br>8.25<br>20.40<br>12.27<br>9.70<br>8.52<br>7.88<br>7.51<br>7.28<br>7.14<br>8.50<br>20.52<br>12.40<br>9.85<br>8.68<br>8.05<br>7.69<br>7.47<br>7.33<br>8.75<br>20.64<br>12.53<br>9.99<br>8.84<br>8.22<br>7,87<br>7.65<br>7.52<br>9.00<br>20.76<br>12.67<br>10.14<br>9.00<br>8.39<br>8.05<br>7.84<br>7.71<br>9.25<br>20.88<br>12.80<br>10.29<br>9.16<br>8.56<br>8.23<br>8.03<br>7.91<br>9.50<br>21.00<br>12.94<br>10.44<br>9.32<br>8.74<br>8.41<br>8.22<br>8.10<br>8.91<br>9.09<br>9.75<br>21.12<br>13.08<br>10.59<br>9.49<br>8.59<br>8.41<br>8.30<br>10.00<br>10.25<br>10.50<br>21.25<br>13.22<br>10.75<br>9.65<br>8.78<br>8.60<br>8.49<br>21.37<br>13.35<br>10.90<br>9.82<br>9.26<br>8.96<br>8.79<br>8.69<br>21.49<br>13.49<br>11.05<br>9.98<br>9.44<br>9.15<br>8.98<br>8.89<br>10.75<br>21.62<br>13.63<br>11.21<br>10.15<br>9.62<br>9.33<br>9.18<br>9.08<br>11.00<br>21.74<br>13.78<br>11.37<br>10.32<br>9.80<br>9.52<br>9.37<br>9.28<br>11.25<br>21.87<br>13.92<br>11.52<br>10.49<br>9.98<br>9.71<br>9.56<br>9.48<br>11.50<br>21.99<br>14.06<br>11.68<br>10.66<br>10.16<br>9.90<br>9.76<br>9.68<br>11.75<br>22.12<br>14.20<br>11.84<br>10.84<br>10.35<br>10.09<br>9.96<br>9.88<br>12.00<br>22.24<br>14.35<br>12.00<br>11.01<br>10.53<br>10.29<br>10.16<br>10.08<br>12.25<br>22.37<br>14.49<br>12.16<br>11.19<br>10.72<br>10.48<br>10.35<br>10.29<br>12.50<br>22.50<br>14.64<br>12.33<br>11.36<br>10.9<br>10.67<br>10.55<br>10.49<br>12.75<br>22.63<br>14.78<br>12.49<br>11.54<br>11.09<br>10.87<br>10.75<br>10.69<br>13.00<br>22.75<br>14.93<br>12.65<br>11.72<br>11.28<br>11.06<br>10.95<br>10.90<br>

Extracted text: Table 14-1: Monthly Payments to Amortize Principal and Interest per $1,000 Financed Monthly Payments (Necessary to amortize a loan of $1,000) Interest Rate (%) 3.50 5 10 15 20 25 30 35 40 Years Years 9.89 10.01 Years Years Years Years Years Years 18.19 7.15 5.80 5.01 4.49 4.13 3.87 3.75 18.30 7.27 5.93 5.14 4.63 4.28 4.03 4.00 18.42 10.12 7.40 6.06 5.28 4.77 4.43 4.18 18.53 18.64 4.58 4.73 4.25 10.24 7.52 6.19 5.42 5.56 4.92 4.34 4.50 10.36 7.65 6.33 5.07 4.50 4.75 18.76 10.48 7.78 6.46 5.70 5.22 4.89 4.66 5.00 18.87 10.61 7.91 6.60 5.85 5.37 5.05 4.82 5.25 18.99 10.73 8.04 6.74 5.99 5.52 5.21 4.99 5.50 19.10 10.85 8.17 6.88 6.14 5.68 5.37 5.16 5.75 19.22 10.98 8.30 7.02 6.29 5.84 5.54 5.33 6.00 6.25 19.33 11.10 8.44 7.16 6.44 6.00 5.70 5.50 19.45 11.23 8.57 7.31 6.60 6.16 5.87 5.68 6.50 19.57 11.35 8.71 7.46 6.75 6.32 6.04 5.85 6.75 19.68 11.48 8.85 7.6 6.91 6.49 6.21 6.03 7.00 19.80 11.61 8.99 7.75 7.07 6.65 6.39 6.21 7.25 19.92 11.74 9.13 7.90 7.23 6.82 6.56 6.40 7.50 20.04 11.87 9.27 8.06 7.39 6.99 6.74 6.58 7.75 20.16 12.00 9.41 8.21 7.55 7.16 6.92 6.77 8.00 20.28 12.13 9.56 8.36 7.72 7.34 7.10 6.95 8.25 20.40 12.27 9.70 8.52 7.88 7.51 7.28 7.14 8.50 20.52 12.40 9.85 8.68 8.05 7.69 7.47 7.33 8.75 20.64 12.53 9.99 8.84 8.22 7,87 7.65 7.52 9.00 20.76 12.67 10.14 9.00 8.39 8.05 7.84 7.71 9.25 20.88 12.80 10.29 9.16 8.56 8.23 8.03 7.91 9.50 21.00 12.94 10.44 9.32 8.74 8.41 8.22 8.10 8.91 9.09 9.75 21.12 13.08 10.59 9.49 8.59 8.41 8.30 10.00 10.25 10.50 21.25 13.22 10.75 9.65 8.78 8.60 8.49 21.37 13.35 10.90 9.82 9.26 8.96 8.79 8.69 21.49 13.49 11.05 9.98 9.44 9.15 8.98 8.89 10.75 21.62 13.63 11.21 10.15 9.62 9.33 9.18 9.08 11.00 21.74 13.78 11.37 10.32 9.80 9.52 9.37 9.28 11.25 21.87 13.92 11.52 10.49 9.98 9.71 9.56 9.48 11.50 21.99 14.06 11.68 10.66 10.16 9.90 9.76 9.68 11.75 22.12 14.20 11.84 10.84 10.35 10.09 9.96 9.88 12.00 22.24 14.35 12.00 11.01 10.53 10.29 10.16 10.08 12.25 22.37 14.49 12.16 11.19 10.72 10.48 10.35 10.29 12.50 22.50 14.64 12.33 11.36 10.9 10.67 10.55 10.49 12.75 22.63 14.78 12.49 11.54 11.09 10.87 10.75 10.69 13.00 22.75 14.93 12.65 11.72 11.28 11.06 10.95 10.90
Jun 11, 2022
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