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Business & Finance Assignment | Custom Assignment Help

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December 7th, 2019

 

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The Sandersons are planning to refinance their home. The outstanding principal on their original loan is$140,000and was to amortized in 240 equal monthly installments at an interest rate of12%/year compounded monthly. The new loan they expect to secure is to be amortized over the same period at an interest rate of7%/year compounded monthly. How much less can they expect to pay over the life of the loan in interest payments by refinancing the loan at this time? (Round your answer to the nearest cent.)

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