Jake just got a​\$96000mortgage in order to buy a new​ home, and he was able to get a 30 year loan at​ 5.5% interest. Answer the following questions about​ Jake's loan.​(Round your answers to the nearest​ cent.) What is​ Jake's monthly​ payment?  ​\$nothing How will Jake pay in total over the lifetime of the​ loan?  ​\$nothing How much interest will Jake pay over the lifetime of the​ loan?  ​\$

Question
Asked Nov 7, 2019
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Jake just got a
​\$96000
mortgage in order to buy a new​ home, and he was able to get a 30 year loan at​ 5.5% interest. Answer the following questions about​ Jake's loan.
​(Round your answers to the nearest​ cent.)

What is​ Jake's monthly​ payment?
​\$nothing

How will Jake pay in total over the lifetime of the​ loan?
​\$nothing

How much interest will Jake pay over the lifetime of the​ loan?
​\$
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Step 1

Loan Amount (pv) = \$96,000

Interest Rate (rate) = 5.5%

Time Period = 30 Years

Number of Payments in a Year = 12

Total Number of Payments (nper) = 30 Years × 12 = 360

Calculation of Monthly Payment of the loan by using PMT function of excel:

To open the "PMT function" window - MS-Excel --> Formulas --> Financials --> PMT.

Step 2

Monthly Payment = \$545.08

Time Period = 30 Years

Number of Payments in a Year = 12

Total Number of Payments = 30 Years × 12 = 360

Calculation of the future value of the loan is as follows

Step 3

Loan Amount = \$96,000

Future Value of the Loan = \$196.228.80

Calculation of th...

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