You have decided to buy a new home and the bank offers you a 30 year fixed loan at 5.5% on a balance of $150,000. Use the table provided to determine the monthly payments. A 5-column table with 4 rows titled Monthly Payments per 1000 dollars of mortgage. Column 1 is labeled Interest Rate (percent) with entries 5, 5.5, 6, 6.5. Column 2 is labeled 10 Years with entries 10.61, 10.86, 11.11, 11.36. Column 3 is labeled 20 years with entries 6.60, 6.88, 7.17, 7.46. Column 4 is labeled 30 years with entries 5.37, 5.68, 6.00, 6.33. Column 5 is labeled 40 years with entries 4.83, 5.16, 5.51, 5.86.

a.

$416.67

c.

$852.00

b.

$439.00

d.

$874.32

Please select the best answer from the choices provided

A

B

C

D