The Williams family has a $234,900 mortgage at 9%. Their monthly payment is $1890. What is the new principal after the first payment to the nearest hundredth of a dollar?

Answer:$234 771.75Step-by-step explanation:Data: Principal = $234 900        APR = 9 % = 0.09 Payment = $1890 Calculations: 1. Monthly interest rate r = 0.09/12 = 0.0075 2. Interest for first month Interest = 234 900 × 0.0075 = $1761.75 3. New Principal        Principal = $234 900.00       + Interest =        + 1761.75 End of month =    236 661.75      - Payment =      - 1890.00 New principal = $234 771.75 The new principal is $234 771.75