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— 27
Finding the Loan Amount
Approximately how much could you borrow if the interest rate was
7.8% on a 30-year loan and you could afford $1,500 in monthly pay-
ments? What if the interest rate was lowered to 7.5%?
STEPS
KEYSTROKES
DISPLAY
Clear calculator
o o
0.00
Enter interest
7 • 8 ˆ
7.80
Enter term
3 0 T
30.00
Enter monthly payment
1 5 0 0 p
1,500.00
Find loan amount
l
“run” 208,370.81
Enter new interest rate
7 • 5 ˆ
7.50
Find new loan amount
l
“run” 214,526.44
Paying Off a Mortgage Early (Making Larger Payments)
How long does it take to pay off a 30-year, fixed-rate mortgage of
$150,000 at 8.5% interest if you add an extra $200 to the mortgage
payment each month?
STEPS
KEYSTROKES
DISPLAY
Clear calculator
o o
0.00
Enter loan amount
1 5 0 ) l
150,000.00
Enter interest
8 • 5 ˆ
8.50
Enter term
3 0 T
30.00
Find monthly P&I payment
p
1,153.37
Add additional payment
amount
+ 2 0 0 =
1,353.37
Enter as new
payment amount
p
1,353.37
Find reduced loan term
T
“run” 18.15
