The nominal annual interest rate was 6 after 10 years 120


Person P got a house for $200,000 and made a $60,000 down payment. He obtained a 30 - year loan for the remaining amount. Payments were made monthly. The nominal annual interest rate was 6%. After 10 years (120 payments) he sold the house and paid off the loan's remaining balance.

(a) What was his monthly loan payment?

(b) What must he have paid (in addition to his regular 120th monthly payment) to pay off the loan?

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Business Economics: The nominal annual interest rate was 6 after 10 years 120
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