monthly payment\nprincipal $103,200\nterm length 30 years\ninterest rate 5%\nmonthly payment $554\nhow much…

monthly payment\nprincipal $103,200\nterm length 30 years\ninterest rate 5%\nmonthly payment $554\nhow much of the 75th payment will go toward principal if there is an outstanding principal of $92,478?\ninterest on 75th payment = $385.33\nprincipal on 75th payment = $?\nround to the nearest hundredth.
Answer
Explanation:
Step1: Recall payment - principal relationship
The monthly payment is composed of interest and principal.
Step2: Calculate principal portion
Principal portion = Monthly payment - Interest payment. Given monthly payment is $554 and interest on 75th payment is $385.33. So, Principal portion = $554 - $385.33. $554−385.33 = 168.67$
Answer:
$168.67$