Question 1122078
you can use the following online calculator to solve this problem.


<a href = "https://arachnoid.com/finance/" target = "_blank">https://arachnoid.com/finance/</a>


my inputs to this calculator were:


future value = 0
number of time periods = 30 * 12 = 360
interest rate percent per time period = 7 / 12 = .58333333....
payment are made at the end of each time period
monthly payment was -1400.


the payment is entered as negative because it's money going out.
the present value is positive because it's mone7y coming in.


i then clicked on PV and it told me that the present value is 210,430.62.


that is the amount of the loan that can be had with payments of 1400 at the end of each month for 360 months at 7% per year compounded monthly.


the sum of all the payments was 360 * 1400 = 504,000.


that's the total amount that you paid to the loan company.


the interest paid on the loan was 504,000 minus 210,430.62 = 293,569.38.


over the period of 30 years, you paid more in interest than you received.


my output from the calculator is shown below:


<img src = "http://theo.x10hosting.com/2018/082905.jpg" alt="$$$" >