SOLUTION: Can you please help me with this problem? I've been trying to figure it out but I'm stuck. I appreciate any help. Juanita and Liz are buying a house. They have $23000 for a down

Question 1157355: Can you please help me with this problem? I've been trying to figure it out but I'm stuck. I appreciate any help.
Juanita and Liz are buying a house. They have $23000 for a down payment. The house price is $157000. If the interest rate is 5.6% compounded monthly, determine the size of the monthly payments they must make over the next 30 years to pay off the house.
Express your answer rounded to the nearest cent!
Answer by Theo(13342) (Show Source): You can put this solution on YOUR website!
use of a financial calculator will solve this easily.
my calcuclator is the texas instruments business analyst II.
inputs are:
house price is 157,000.
down payment of 23,000 means 157 - 23 = 134,000 must be financed.
inerest rate is 3.6% compounded monthly.
mortgage is for 30 years.
your inputs to this calculator will be:
present value = 134,000
future value = 0
interest rate per month = 5.6% per year 12 = .46666666...% per month.
number of months = 30 years * 12 = 360 months.
payments are made at the end of each month.
stick that in your calculator and have the calculator give you the monthly payment of 769.27 per month, rounded to the nearest penny.
there's an online calculator that does the same thing.
here's what the output of that calculator looks like.

$$$

here's some formulas that can sometimes be used.
https://www.algebra.com/algebra/homework/Finance/THEO-2016-04-29.lesson
the particular one that applies to your problem is shown below.
be sure to enter the inputs into your calculator exactly in the format shown.
otherwise you stand a good change of not getting the right answer.

ANNUITY FOR A PRESENT AMOUNT WITH END OF TIME PERIOD PAYMENTS
a = (p*r)/(1-(1/(1+r)^n))
a is the annuity.
p is the present amount.
r is the interest rate per time period.
n is the number of time periods.

your inputs to this formula would be as shown below.

(134000*.056/12)/(1-(1/(1+.056/12)^360))

your output will be 769.2658341 which is rounded to 769.27.

RELATED QUESTIONS
I am trying to figure this problem out and I need some help with it. I am working with... (answered by josgarithmetic,macston,MathTherapy)

I'm trying to figure out slope, I understand some of it but I'm pretty confused with it... (answered by josgarithmetic)

PLEASE EXPLAIN INTERSEPTS TO ME. I AM TRYING TO HELP MY SON WITH HIS PRE-ALGEBRA AND AM... (answered by venugopalramana)

Hello, I am trying to graph the following but I been out of school for 15 years can... (answered by stanbon)

a random sample of 88 observations produced a mean x = 25.8 and standard deviation s=2.7. (answered by ewatrrr,Theo)

I am having trouble with this word problem and wondering if someone could help me figure... (answered by richwmiller,Edwin McCravy)

I need help i have been trying to figure out this question all day can you help me figure (answered by rmromero)

Juanita invests $3,000, at 5% interest, compounded annually for 3 years. Manually... (answered by rothauserc)

I'm about to go crazy over here trying to figure out this problem!!! Can you PLEASE tell... (answered by askmemath)