Mrs. Smith received a notice from her lender that last year her total interest paid was $6,090 on her $58,000 mortgage. Mrs. Smith wants to verify that she is not paying more interest than the mortgage agreement states. What interest is she paying?

Question

Business

Zion Alexander

12 April, 16:55

Mrs. Smith received a notice from her lender that last year her total interest paid was $6,090 on her $58,000 mortgage. Mrs. Smith wants to verify that she is not paying more interest than the mortgage agreement states. What interest is she paying?

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Answers (1)

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Maryjane · Answer 1

10.5%

Explanation:

From the information provided in the question it seems that the amount of interest that Mrs. Smith is currently paying is that of 10.5%. This can be calculated by dividing the total interest paid by the mortgage amount, and then multiplying by 100 in order to turn the decimal into a percentage. Like so

$6,090 / $58,000 = 0.105

0.105 * 100 = 10.5%