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You bought a house for $600,000 by making a down payment of $100,000 and borrowing the...

You bought a house for $600,000 by making a down payment of $100,000 and borrowing the remaining balance. The mortgage rate is 6.0% and the loan period is 30 years. Payments are monthly and occur at the end of the month. If you pay for the house according to the loan agreement, how much total interest will you pay?

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Answer #1

Ans $ 579,190.95

P = Regular Payments
PV = Loan Amount
r = rate of interest
n = no of periods
P = r (PV)
1 - (1 + r )-n
P = (6%/12)*500000
1 - (1 / (1 + 6%/12)^360))
P = 2500
0.833958072
P = 2997.75262576379
Interest Paid = Total EMI - Loan amount
2997.75262576379 * 360 - 500000
579,190.95
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