Question

Asked Jan 10, 2020

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You have just purchased a home and taken out a $500,000 mortgage. The mortgage has a 30-year term with monthly payments and an APR of 6%.

How much will you pay in interest, and how much will you pay in principal, during the first year?

Step 1

**Calculation of Total Interest Paid and Total Principal Paid:**

The total interest paid is **$29,832.97** and total principal paid is **$6,140.06.**

**Excel Spreadsheet:**

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