Finance
A Hawaii borrower wants to determine the total interest paid on a 30-year fixed mortgage. They would calculate:
AA. (Monthly payment × 360) - Loan amount✓ Correct
BB. Loan amount × interest rate only
CC. Monthly payment × 12
DD. Loan amount × 30
Explanation
Total interest paid = (Monthly payment × number of payments) - Original loan amount. This shows how much extra is paid above the principal over the life of the loan.
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