Pablo and Max received a 30-year mortgage for $201,000 at the APR of 11.4%, compounded monthly. After they had made 9 years of the payments (108 payments) they decided to refinance the remaining loan balance for 20 years at an APR of 5.3%, compounded monthly. What will be the balance on their loan 3 years after the refinance?

Pablo and Max received a 30-year mortgage for $201,000 at the APR of 11.4%, compounded monthly. After they had made 9 years of the payments (108 payments) they decided to refinance the remaining loan balance for 20 years at an APR of 5.3%, compounded monthly. What will be the balance on their loan 3 years after the refinance?

Excel Applications for Accounting Principles

4th Edition

ISBN:9781111581565

Author:Gaylord N. Smith

Publisher:Gaylord N. Smith

Chapter27: Time Value Of Money (compound)

Section: Chapter Questions

Problem 5E

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