Question

P17-3 (similar to) Question Help Loan payments and Interest Schuyler Comcany wishes to purchase en asset cesting $110,000. The full amount needed to finance the esset car ce bonoxed 91 44% ir icrc.1. To farms of the langur: crual and ci m ents for the next cars. Drier in the late innalla pariant, udhraki inte hur m int of Interest and the amount of incipal peld for each yee'. H . Jse the techniques presente in Chapter 5 to find the loen payment. The amount of the ecjal. annual. end of year loar cayment 38 (Round to the nearest cent)

Answer 1

fe -PMT(C2,C3,-С4,-С5,Сб) C7 A B C D E F 1 Rate Per Period Total No.of Payments Present Value Future value Ending(0), Beginning(1) Payment per period 2 RATE 0.144 3 NPER 6 110000 4 PV 5 FV 0 6 TYPE $28,597.84 PMT(0.144,6,-110000,0,0) 7 PMT (PMT(rate,nper,pv,-fv,type)) 9 16 17 ca*0.144 d-b-c e-a-d b Pricipal 18 Year Payment Ending Loan Balance $97,242.16 $82,647.20 Beginning Loan Balance Interest $15,840.00 $14,002.87 19 $1,10,000.00 $28,597.84 $12,757.84 1 $97,242.16 $82,647.20 20 $28,597.84 $14,594.96 2 21 $28,597.84 $11,901.20 $16,696.64 $65,950.56 $28,597.84 $28,597.84 $19,100.96 $21,851.49 $24,998.11 $46,849.60 22 $65,950.56 $9,496.88 4. $6,746.34 $3,599.73 $46,849.60 23 $24,998.11 5 24 $24,998.11 $28,597.84 $0.00 6