Problema Solution
If the payment is $1500 with a interest rate of 5.5% for 30 years how much would you be able to borrow?
Answer provided by our tutors
PV = Pmt * (1 - v^n)/i
v = 1 / (1 + i)
i = 0.055
n = 30
PV = 1500 * (1 - (1/1.055)^30) / 0.055 = $21,800.62