Answer:
The most money she can borrow is $48478.7
Step-by-step explanation:
We are given
Kylie can afford a $1310-per-month house loan payment
so,
PMI=1310
t=25 years
n=12
APR=8.4%=0.084
So,
total money =(PMI)*t*n
[tex]A=1310\times 12\times 25[/tex]
[tex]A=393000[/tex]
now, we can use formula
[tex]A=P(1+\frac{r}{n})^{nt}[/tex]
we can plug values
[tex]393000=P(1+\frac{0.084}{12})^{12\times 25}[/tex]
now, we can solve for P
so, we get
[tex]P=\frac{393000\times \:12^{300}}{12.084^{300}}[/tex]
[tex]P=48478.7[/tex]
So,
The most money she can borrow is $48478.7
Answer:
The is ($1310)((1+0.007)^300-1)/(0.007)(1+0.007)^300
Step-by-step explanation:
