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Consider a 3-year, fixed rate mortgage with an original balance of $18,000 and an interest rate of 5.2%. Suppose right after the month 5 payment
Consider a 3-year, fixed rate mortgage with an original balance of $18,000 and an interest rate of 5.2%. Suppose right after the month 5 payment has been made, the interest rate declines by 3%. What would be the new monthly payment if the home-owner were to refinance with a new 3-year loan at the new rate? Round your answer to 2 decimal places (nearest cent).
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