Dean took out a 10-year loan for $40,000 at an apr of 4% compounded monthly. what will his balance be after he has made exactly half of his monthly payments

The balance be after he has made exactly half of his monthly payments is $56881.4.

Step-by-step explanation:

Given : Dean took out a 10-year loan for $40,000 at an APR of 4% compounded monthly.

To find : What will his balance be after he has made exactly half of his monthly payments?

Solution :

Formula of monthly payment ,

Discount factor  

Where, Amount = $40,000

Rate r= 4% compounded monthly

Time = 10 years  

Now, put all the values we get,  

Half of the monthly payment is $807.345

Payment for 10 years is

The balance is $96881.4-$40000=$56881.4

Therefore, The balance be after he has made exactly half of his monthly payments is $56881.4.