Given the following information on a 30-year fixed-payment loan,determine the remaining balance that the borrower has at the end of seven years.Interest Rate: 7%,Monthly Payment: $1,200.

Question

Quizplus · Accepted Answer

To find the remaining balance after seven years, we need to calculate how much of the principal has been paid off in seven years. We can use an amortization table to do this calculation.

After seven years of making monthly payments of $1,200 at an interest rate of 7%, the remaining balance on the loan would be $164,402. This means that the borrower has paid off 21.47% of the original loan amount over the course of seven years.

Therefore, the correct answer is C.

Given the Following Information on a 30-Year Fixed-Payment Loan,determine the Remaining