Interest Mini-Unit Directions

  1.  Link
  2.  Choose a house value and use 2% for the interest rate to compare monthly mortgage payment for 15 year and 30 year mortgage. Then consider the same house value at 4% for 15 year and 30 year mortgage. Use Screen Shot to copy screen image into a Word document.
  3.  Answer the following questions:

1. What is interest?
    

2. What are the advantages and disadvantages of using interest?
    

3. What did you learn in step 2 of this mini-unit (interest rates and length of mortgage)?
    

4. How does interest effect the final cost of an item?
    

5. Why is it important to have a good credit rating?

  4. Save file in the format (usernameInterest) and send to me via email attachment