Answer:
mothly payment = $20126.57
Explanation:
given data
effective interest rate r = 9.38 % = 0.0938
mortage amount P = $200,000
solution
we consider here time period is t = 30 year
so mothly payment formula is
mothly payment = P × r × [tex]\frac{(1+r)^t}{(1+r)^t - 1}[/tex] .............1
put here value and we get
mothly payment = 200000 × 0.0938 × [tex]\frac{(1+0.0938)^{30}}{(1+0.0938)^{30} - 1}[/tex]
mothly payment = $20126.57
