Response to the following problem:
Using a Spreadsheet to Calculate Mortgage Payments:
What is the monthly payment on a $150,000, 30-year mortgage if the mortgage rate is 5.75 percent? 6.25 percent? 7.5 percent? 9 percent?
|
Present Value
|
Periods
|
Interest
Rate
|
The Payment will Be
|
|
$150,000
|
30 x 12
|
5.75%/12
|
$ 875.36
|
|
150,000
|
30 x 12
|
6.25%/12
|
923.58
|
|
150,000
|
30 x 12
|
7.50%/12
|
1,048.82
|
|
150,000
|
30 x 12
|
9.00%/12
|
1,206.93
|