29)

You bought a house with price of $500,000. Your LTV (loan-to-value ratio) is 80%. You choose the 30-year mortgage with interest rate 5%. Assuming the total transaction cost is $5,000. What will be your interest payments for the first 6 years?

Select one:

a. $39,755.53

b. $40,258.76

c. $112,916.54

d. $114,345.86