To determine how much money will be spent in interest alone over the course of the 5% 30-year mortgage, we need to follow a few steps. Let's break it down.
### Step-by-Step Solution
#### Step 1: Identify the Principal Amount
The principal amount of the mortgage is provided in the table:
- Principal: \[tex]$120,000.00
#### Step 2: Identify the Monthly Payment and Duration
From the table, it's clear that the monthly payment for a mortgage with an interest rate of 5% is:
- Monthly Payment: \$[/tex]644
The duration of the mortgage is 30 years.
#### Step 3: Convert the Duration to Months
Since the payments are monthly and the duration of the mortgage is given in years, we need to determine the total number of months:
- Number of Years: 30
- Months per Year: 12
The total number of months for the mortgage is:
[tex]\[ \text{Total Months} = 30 \, \text{years} \times 12 \, \text{months/year} = 360 \, \text{months} \][/tex]
#### Step 4: Calculate the Total Amount Paid Over the Course of the Mortgage
To find the total amount paid over the duration of the mortgage, we multiply the monthly payment by the total number of months:
[tex]\[ \text{Total Amount Paid} = \text{Monthly Payment} \times \text{Total Months} \][/tex]
[tex]\[ \text{Total Amount Paid} = \$644 \times 360 = \$231,840 \][/tex]
#### Step 5: Calculate the Interest Paid Over the Course of the Mortgage
Finally, to determine the total interest paid, we subtract the principal from the total amount paid:
[tex]\[ \text{Interest Paid} = \text{Total Amount Paid} - \text{Principal} \][/tex]
[tex]\[ \text{Interest Paid} = \$231,840 - \$120,000 = \$111,840 \][/tex]
### Conclusion
The money spent in interest alone over the course of the 5% 30-year mortgage is:
[tex]\[ \boxed{\$111,840} \][/tex]
