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If you borrow $120,000 at an APR of 6% in order to buy a home,...

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If you borrow $120,000 at an APR of 6% in order to buy a home, and if the lending institution compounds interest continuously, then your monthly payment M = M(Y), in dollars, depends on the number of years Y you take to pay off the loan. The relationship is give the following. M = 120,000/e0.005 - 1) 1-e-0.06Y (a) Make the graph of M versus Y. In choosing a graphing window, you should note that a home mortgage rarely extends beyond 30 years. M 2000 1800 1600 1400 1200 1000 800 600 . 2000 1800 1600 1400 1200 1000 800 600 UUUUUUUUUUUUUUUL V 5 10 15 20 25 30 5 10 15 20 25 30 M 2000 1800 1600 1400 1200 1000 800 600 LLLLLLLLLL 5 10 2000 1800 1600 1400 1200 1000 800 600 15 20 LILLY 25 30 25 30 10 15 20 (b) Express in functional notation your monthly payment if you pay off the loan in 14 years. MC Use the graph to find that value. (Round your answer to two decimal places.) $ (c) Use the graph to find your monthly payment if you pay off the loan in 21 years. (Round your answer to two decimal places.) per mo If you borrow $120,000 at an APR of 6% in order to buy a home, and if the lending institution compounds interest continuously, then your monthly payment M = M(Y), in dollars, depends on the number of years Y you take to pay off the loan. The relationship is give the following. M = 120,000/e0.005 - 1) 1-e-0.06Y (a) Make the graph of M versus Y. In choosing a graphing window, you should note that a home mortgage rarely extends beyond 30 years. M 2000 1800 1600 1400 1200 1000 800 600 . 2000 1800 1600 1400 1200 1000 800 600 UUUUUUUUUUUUUUUL V 5 10 15 20 25 30 5 10 15 20 25 30 M 2000 1800 1600 1400 1200 1000 800 600 LLLLLLLLLL 5 10 2000 1800 1600 1400 1200 1000 800 600 15 20 LILLY 25 30 25 30 10 15 20 (b) Express in functional notation your monthly payment if you pay off the loan in 14 years. MC Use the graph to find that value. (Round your answer to two decimal places.) $ (c) Use the graph to find your monthly payment if you pay off the loan in 21 years. (Round your answer to two decimal places.) per mo

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