Problem:
Jeff recently purchased a house for $350,000. He made a down payment of $50,000 and financed the balance over 30 years at 7%. If Jeff's first payment is due on March 1st of the current year,
Required:
Question: How much interest expense will Jeff pay in the current year?
A. $2,524.64.
B. $15,885.09.
C. $16,288.63.
D. $17,434.43.
Note: Be sure to show how you arrived at your answer.