We will have the following:
First, we calculate the total payment per year:
[tex]p_y=316000\cdot0.066\Rightarrow p_y=20856[/tex]Now, we calculate the monthly payment:
[tex]316000=\frac{p}{0.0055}(1-\frac{1}{(1+0.066)^{120}})\Rightarrow1738=p(0.9995331951\ldots)[/tex][tex]\Rightarrow p=\frac{1738}{(1-\frac{1}{(1+0.066)^{120}})}\Rightarrow p=1738.811686[/tex]So, the monthly payment will be approximately $1738.811686.
