Problema Solution
$200,000 AT 5.5% INTREST ON A THIRTY YEAR LOAN. HOW MUCH ARE THE PAYMENTS?
Answer provided by our tutors
E = P×r×(1 + r)n/((1 + r)n - 1)
E is EMI
where P is Priniple Loan Amount
r is rate of interest calualted in monthly basis it should be = Rate of Annual interest/12/100
n is tenture in number of months
Here P = 200000, r = 5.5/12/100 = 0.004583
E = 200000*0.004583*(1 + 0.004583)360/((1 + 0.004583)360 - 1)
= 1135.53$