Academic Integrity: tutoring, explanations, and feedback — we don’t complete graded work or submit on a student’s behalf.

judy recently purchased her first home for $200,000. she made a down payment of

ID: 1172539 • Letter: J

Question

judy recently purchased her first home for $200,000. she made a down payment of $20,009, and financed the balance over 15 years, at 4.25% interest. if judy's first payment is due on october 1st of this year, approximately how much interest will she pay this year? judy recently purchased her first home for $200,000. she made a down payment of $20,009, and financed the balance over 15 years, at 4.25% interest. if judy's first payment is due on october 1st of this year, approximately how much interest will she pay this year?

Explanation / Answer

Interest paid by the Judy in 1st year = (price of home - down payment) * interest rate

= 4.25% of $(200000 - 20009)

= $7649.6175