A person purchased a $214,088 home 10 years ago by paying 10% down and signing a 30-year mortgage at 10.8% compounded monthly. Interest rates have dropped and the owner wants to refinance the unpaid balance by signing a new 20-year mortgage at 5.4% compounded monthly. How much interest will refinancing save? Money Saved: S (Round to the nearest cent as needed.)

Algebra and Trigonometry (6th Edition)
6th Edition
ISBN:9780134463216
Author:Robert F. Blitzer
Publisher:Robert F. Blitzer
ChapterP: Prerequisites: Fundamental Concepts Of Algebra
Section: Chapter Questions
Problem 1MCCP: In Exercises 1-25, simplify the given expression or perform the indicated operation (and simplify,...
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A person purchased a $214,088 home 10 years ago by paying 10% down and signing a 30-year mortgage at 10.8% compounded monthly. Interest rates have
dropped and the owner wants to refinance the unpaid balance by signing a new 20-year mortgage at 5.4% compounded monthly. How much interest will refinancing
save?
Money Saved: $
(Round to the nearest cent as needed.)
Transcribed Image Text:A person purchased a $214,088 home 10 years ago by paying 10% down and signing a 30-year mortgage at 10.8% compounded monthly. Interest rates have dropped and the owner wants to refinance the unpaid balance by signing a new 20-year mortgage at 5.4% compounded monthly. How much interest will refinancing save? Money Saved: $ (Round to the nearest cent as needed.)
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