Real Estate Math

A Missouri buyer borrows $240,000 at 5% for 30 years. The monthly payment is $1,288. How much total interest is paid over the life of the loan?

A$223,680✓ Correct
B$216,480
C$240,000
D$144,000

Explanation

Total paid = $1,288 × 360 = $463,680. Total interest = $463,680 − $240,000 = $223,680.

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