Mortgage Interest Differential Payments
The annual mortgage payment is $60 million = PVAn=150, k=10%*R ( R = $7,888,426.61. Annual mortgage payments, with no prepayments, can be decomposed into principal and interest payments: Interest Principal Remaining. Year Balance Payment Payment Payment Principal. 1 $60.000 $7.888 $6.000 $1.888 $58.112. 2 58.112 7.888 5.811 2.077 56.034 ................
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