Jordan Mura Hour 4
Pre Calc Finance Project
1. 1.Harper’s monthly income is $1702.44. That is her total monthly salary after taxes ($4083.33) minus her monthly student loans ($2380.89). She will also pay 14% of her monthly income on food and clothing which will leave her with $1464.10 to pay monthly towards a house.
2. 2. The total amount of money she can pay on a 30 year loan with a 5% interest rate is $272734.92. This is explained in the formula in the picture below.
3. 3.Her house that she is going to buy is worth $135,000. Her minimum monthly payment is $721.70. It is located on http://www.reeceandnichols.com/homes-for-sale/KS/Olathe/66061/500-S-Oscar-Street-109285533
If she were to increase her monthly payment by 15% she could pay it off 7.5 years sooner. And she would save $48,802.