Calculator Problem – 12/17/2012

Would you be willing to pay $40,000 principal pay down on a loan to save 1.25% on $75,000 a year?

(The answer will be posted with the new calculator problem in 2 weeks. Or if you can’t wait that long, you can go to http://www.facebook.com/pages/Gary-Johnston-Seminars/111368472221424 for the answer.)

N=240,PV= -60,000,PMT=400,FV=0) I=5.12%