Max can afford a $900 monthly payment. if the current mortgage rates are 5% and he wishes to have a 30-year mortgage, what is the maximum amount he can afford to borrow
A. $150,000
B. $167,653
C. $176,280
D. $176,000
The formula of the present value of an annuity ordinary is Pv=pmt [(1-(1+r/k)^(-kn))÷(r/k)] Pv present value? PMT monthly payment 900 R interest rate 0.05 K compounded monthly 12 because the payments are monthly N time 30 years
