Question

You purchase a home and need to borrow $350,000. The bank is offering a 30-year loan that requires monthly payments and has a stated interest rate of 9% per year. What is your monthly mortgage payment? Now suppose that you can only afford to pay $2,500 per month. The bank agrees to allow you to pay this amount each month, yet still borrow the original amount. At the end of the mortgage in 30 years, you must make a balloon payment, that is, you must pay the remaining balance on the mortgage valued at year 30. What is the amount of the balloon payment you must make at the end of the mortgage? Provide the actual dollar amount of the balloon payment at year 30.

Answer 1

Part 1) Find the payment when there is no constraint on the amount of payment:

We are given the following information:

r	9.00%
n	30
frequency	12 (monthly payments)
PV	$   3,50,000.00

We need to solve the following equation to arrive at the required monthly payment (PMT):

So the monthly payment is $2816.18

1-(1+ Frequency --)-nx frequency PV = PMT X- frequency 1-(1 + 0,09) -30x12 PV = PMT X- PMT = 2816.18

Part 2) Now this will require two part solution

1. First we will have to find the FV of the loan amount at the end of 30 years
2. Find the FV of the 2500 monthly payment at the end of year 30
3. Subtract the FV of monthly payment from the FV of the loan amount
4. The resultant amount is balloon payment

Step 1) We are given the following information:

PV	$        3,50,000.00
r	9.00%
n	30
frequency	12

We need to solve the following equation to arrive at the required FV

FV = PV X (1+1 frequency frequencyxn 0.09 12x30 FV = 350000 X (1+. 12 FV = 5, 155, 701.64

So the FV is $5155701.64

Step 2) We are given the following information:

PMT	$              2,500.00
r	9.00%
n	30
frequency	12

We need to solve the following equation to arrive at the required FV

(1+ Frequency) T ynx frequency - 1 FV = PMT X- frequency (1 + (1 + 0.09 30x12 - 1 12) FV = PMTX FV = 4576858.71

So the FV is $4576858.71

Step 3) Difference in the amount of two FVs is 5155701.64 - 4576858.71 =  $578,842.94

Step 4) Balloon payment =  $578,842.94

Below is the amortization Schedule:

Month Opening Balance PMT 2 3,50,125.00$ 2,500.00 | 3 و 350 , 250 . 943 2 , 500 . 00 $ 5$ 3,50,505.65 | 2,500.00$ واه و7 3 , 50 , 634 . 45 | 3 , 50 , 764 . 20 | 2 , 500 . 00 و| 2 , 500 . 00 $ ژاو |10 ;11 3 , 51 , 026 . 65 | 3 , 51 , 159 . 35 | 3 , 51 , 293 . 04 2 , 500 . 00 | 2 , 500 . 00 | 2 , 500 . 00 2 , 633 . 70 و و $ 13| 3,51,563.45 | 2,500.00| |14 3 , 51 , 700 . 17 | 2 , 500 . 00 $ 2 , 637 . 75 و 15 3,51,837.93 | 2,500.00 $ $ و16 و17 و18 3 , 51 , 976 . 71 | 3 , 52 , 116 . 54 | 3 , 52 , 257 . 413 2 , 500 . 00 2 , 500 . 00 2 , 500 . 00 $ 19| 20 $ 21| 22| 3,52,399.34 | 3,52,542.33 | 3,52,686.40 | 3,52,831.55 | 2,500.00$ 2,500.00| 2,500.00 $ 2,500.00 و23 و24 3 , 52 , 977 . 79 | 3 , 53 , 125 . 12 | 2 , 500 . 00 $ 2 , 500 . 00 $ 253 26| 3,53,273.56 | 3,53,423.11| 2,500.00| 2,500.00 | و27 3 , 53 , 573 . 78 | 2 , 500 . 00 | 2 , 651 . 80 | 28/$ 3,53,725.59 | 2,500.00 وا29 و30 3 , 53 , 878 . 53 | 3 , 54 , 032 . 62 $ 2 , 500 . 00 | 2 , 500 . 00 $ 31| 32| 33| 3,54,187.86 | 3,54,344.27 | 3,54,501.85 | 2,500.00 | 2,500.00| 2,500.00 $ 2 , 657 . 58 و 2 , 658 . 76 و| 35| 36| 375 3,54,820.57 | 3,54,981.73 | 3,55,144.09 | 2,500.00| 2,500.00| 2,500.00 $ Principal repayment Closing Balance -125.00 $ 350,125.00 2,625.94 | -125.94 | 3,50,250.94 2,626.88 $ -126.88 | 3,50,377.82 -127.83 | 3,50,505.65 -128.79 | 3,50,634.45 -129.76 | 3,50,764.20 2,630.73$ -130.73 | 3,50,894.94 2,631.71 -131.71 | 3,51,026.65 2,632.70 | -132.70 | 3,51,159.35 -133.70 | 3,51,293.04 -134.70 | 3,51,427.74 2,635.71 | -135.71 | 3,51,563.45 2,636.73 $ -136.73$ 3,51,700.17 -137.75 | 3,51,837.93 -138.78 | 3,51,976.71 -139.83 | 3,52,116.54 2,640.87| -140.87| 3,52,257.41 -141.93 | 3,52,399.34 -143.00 | 3,52,542.33 -144.07 | 3,52,686.40 2,645.15$ -145.15 | 3,52,831.55 -146.24| 3,52,977.79 -147.33 | 3,53,125.12 -148.44 | 3,53,273.56 -149.55 | 3,53,423.11 2,650.67| -150.67$ 3,53,573.78 -151.80 | 3,53,725.59 .152.94 | 3,53,878.53| -154.09 | 3,54,032.62 -155.24 | 3,54,187.86 | 2,656.41 | -156.41 | 3,54,344.27 | -157.58 | 3,54,501.85 -158.76 | 3,54,660.62 2,659.95 | -159.95 | 3,54,820.57 -161.15 | 3,54,981.73 -162.36 | 3,55,144.09 -163.58 | 3,55,307.67 | -164.81$ 3,55,472.48 2,666.04 | $ -167.29 | 3,55,805.81 2,668.54 | .168.54 | 3,55,974.35 | 2,669.81$ -169.81$ 3,56,1 .16 2,671.08 | $ -171.08 | 3,56,315.24 | -172.36 | 3,56,487.61 -173.66 | 3,56,661.26 | 2,674.96 | -174.96 | 3,56,836.22 2,676.27 | -176.27 | 3,57,012.50 -177.59 | 3,57,190.09 2,678.93$ -178.93 | 3,57,369.01 -180.27 | 3,57,549.28 2,681.62 | -181.62| 3,57,730.90 | 2,682.98 | -182.98 |$ 3,57,913.88 2,684.35 $ -184.35 | 3,58,098.24 -185.74 | 3,58,283.97 2,687.13 $ -187.13 | 3,58,471.10 -188.53 |$ 3,58,659.64 2,689.95$ -189.95 | 3,58,849.58 2,691.37 | $ 2,692.81 $ -192.81$ 3,59,233.76 | -194.25 | 3,59,428.02 -195.71| 3,59,623.73 | 2,697.18 $ .197.18 | 3,59,820.91 -198.66 | 3,60,019.56 | -200.15 | 3,60,219.71 2,701.65 | - 201.65 | 3,60,421.36 | .203.16 | 3,60,624.52 2,704.68 $ -204.68 | 3,60,829.20 | 2,706.225 -206.22| 3,61,035.42 -207.77 | 3,61,243.19 | 2,709.32 |$ -209.32| 3,61,52.51 و38 و39 و40 و41 3 , 55 , 307 . 67 | 3 , 55 , 472 . 48 | 3 , 55 , 638 . 52 | 3 , 55 , 805 . 81 | 2 , 500 . 00 2 , 500 . 00 | 2 , 500 . 00 $ 2 , 500 . 00 | 43 3,56,144.16 | 2,500.00 $ وا 3 , 56 , 315 . 24 | 2 , 500 . 00 | 45 $ 46$ 3,56,487.61$ 3,56,661.26 | 2,500.00$ 2,500.00 و47 3 , 56 , 836 . 22 | 2 , 500 . 00 $ 2 , 677 . 5 واو 48| 49| 3,57,012.50 | 3,57,190.09 | 2,500.00| 2,500.00 $ و51 3 , 57 , 549 . 28 | 2 , 500 . 00 53$ 3,57,913.88 $ 2,500.00$ و54 و55 3 , 58 , 098 . 24 | 3 , 58 , 283 . 97 | 2 , 500 . 00 $ 2 , 500 . 00 $ 56$ 57$ 3,58,471.10 | 3,58,659.64 | 2,500.00| 2,500.00$ و58 3 , 58 , 849 . 58 | 2 , 500 . 00 $ 59 $ 3,59,040.96 | 2,500.00$ و60 3 , 59 , 233 . 76 | 2 , 500 . 00 | 61| 3,59,428.02 | 2,500.00 $ و62 و63 و64 و65 و66 3 , 59 , 623 . 73 | 3 , 59 , 820 . 91 $ 3 , 60 , 019 . 56 | 3 , 60 , 219 . 71 | 3 , 60 , 421 . 36 | 2 , 500 . 00 | 2 , 500 . 00 $ 2 , 500 . 00 $ 2 , 500 . 00 | 2 , 500 . 00 | 2 , 700 . 15 ;ا 67$ 683 69$ 3,60,624.52 | 3,60,829.20 | 3,61,035.42 | 2,500.00| 2,500.00| 2,500.00| و70 3 , 61 , 243 . 19 | 2 , 500 . 00 $ 71| 3,61,452.51| 2,500.00 $ 2 , 710 . 89 و ۔ 210 . 89 | 3 , 61 , 663 . 40 | و72 3 , 61 , 663 . 40 | 2 , 500 . 00 | 2,712.48 | .212.48 | -214.07 | 3,61,875.88 3,62,089.95 | 73$ 3,61,875.88 | 2,500.00| 2 , 715 . 67 و| ۔ 215 . 67 | 3 , 62 , 305 . 62 2,717.29 | و74 و75 و76 و77 و78 3 , 62 , 089 . 95 | 3 , 62 , 305 . 62 | 3 , 62 , 522 . 91 $ 3 , 62 , 741 . 84 | 3 , 62 , 962 . 40 | 2 , 500 . 00 $ 2 , 500 . 00 | 2 , 500 . 00 | 2 , 500 . 00 | 2 , 500 . 00 $ -217.29 | -218.92 | -220.56 | -222.22$ 3,62,522.91 3,62,741.84 3,62,962.40 | 3,63,184.62 2,720.56 | 2,722.223 ۔ 223 . 88 $ 3 , 63 , 408 . 50 | $ 2 , 725 . 56 و| -225.56 | 3,63,634.07 80$ 81| 3,63,408.50 3,63,634.07 | 2,500.00$ 2,500.00$ ۔ 227 . 26 | ۔ 228 . 96 | 3 , 63 , 861 . 32 3 , 64 , 090 . 28 | 83| 3,64,090.28 | 2,500.00| و85 و86 3 , 64 , 553 . 37 | 3 , 64 , 787 . 52 | 2 , 500 . 00 | 2 , 500 . 00 $ -230.68 | -232.41 | -234.15 | -235.91 -237.68 | 3,64,320.96 | 3,64,553.37 3,654,787.52 | 3,65,023.42 3,65,261.10 | 2,735.91$ $ ۔ 239 . 46 | 3 , 65 , 500 . 56 88| 89 $ 3,65,261.10 | 3,655,500.56 | 2,500.00| 2,500.00$ 2,741.25 $ - 241.25 | - 243.06 | - 24.89 | 3,65,741.81 3,65,984.87 3,66,229.76 | 91 $ 3,65,984.87$ 2,500.00$ 2,74.89 | و92 3 , 66 , 229 . 76 | 2 , 500 . 00 | - 246 . 72 و 3 , 66 , 476 . 48 93| 3,66,476.48 | 2,500.00| $ واوو و 95 3 , 66 , 725 . 06 | 3 , 66 , 975 . 50 $ 2 , 500 . 00 2 , 500 . 00 - 248.57 | - 250.4 | - 252.32 | -254.21 | 3,66,725.06 | 3,66,975.50 3,67,227.81 3,67482.02 2 , 754 . 21 و 97| 98 $ 3,67,482.02 | 3,67,738.14 | 2,500.00$ 2,500.00 ۔ 256 . 12 | ۔ 258 . 04 | ۔ 259 . 97 | ۔ 261 . 92 | 3 , 67 , 738 . 14 | 3 , 67 , 996 . 17 3 , 68 , 256 . 14 | 3 , 68 , 518 . 06 و99 و100 و101 3 , 67 , 996 . 17 | 3 , 68 , 256 . 14 | 3 , 68 , 518 . 06 | 2 , 500 . 00 $ 2 , 500 . 00 | 2 , 500 . 00 | 2,759.97|$ 2,761.92 $ - 263.89 | 3,68,781.95 | 102| 3,68,781.95 | 2,500.00| ۔ 265 . 86 | 3 , 69 , 047 . 81 2,765.86 | 2,767.86 | و103 و104 و105 3 , 69 , 047 . 81 | 3 , 69 , 315 . 67 | 3 , 69 , 585 . 54 | 2 , 500 . 00 $ 2 , 500 . 00 | 2 , 500 . 00 | - 267.86 | - 269.87 | 3,69,315.67 3,69,585.54 2,771.89 | ۔ 271 . 89 | 3 , 69 , 857 . 43 -273.93 | 3,70,131.36 106| 107| 3,69,857.43 | 3,70,131.36 | 2,500.00| 2,500.00| $ ۔ 275 . 99 $ 3 , 70 , 407 . 35 | 2,775.99 2,778.06 | -278.06 | -280.14 | - 282.24 | -284.36 | 3,70,685.40 | 3,70,965.54 3,71,247.78 3,71,532.14 110 $ 111| 3,70,965.54 | 3,71,247.78 | 2,500.00| 2,500.00$ 2,782.24 | 2,784.36 | 2 , 786 . 4 وا و 2 , 788 . 64 و ۔ 288 . 64 | ۔ 290 . 80 | 3 , 72 , 107 . 27 3 , 72 , 398 . 08 115 $ 3,72,398.08 | 2,500.00| $ -292.99 | 3,72,691.06 | 2,792.99 2,795.18 | و116 3 , 72 , 691 . 06 | 2 , 500 . 00 | $ 2 , 797 . 40 و ۔ 295 . 18 ۔ 297 . 40 | ۔ 299 . 63 | 3 , 72 , 986 . 25 3 , 73 , 283 . 64 3 , 73 , 583 . 27 117| 118| 119 $ 120 $ 121| 3,72,986.25 | 3,73,283.64 | 3,73,583.27 | 3,73,885.15 | 3,74,189.28 | 2,500.00| 2,500.00| 2,500.00| 2,500.00 2,500.00$ 2,801.87$ و122 و123 3 , 74 , 495 . 70 | 3 , 74 , 804 . 42 | 2 , 500 . 00 $ 2 , 500 . 00 $ 2,806.42| 2,808.72 | 2,811.03| 124| 125 $ 3,75,115.46 | 3,75,428.82 | 2,500.00 2,500.00 2,815.72] و127 3 , 76 , 062 . 62 | 2 , 500 . 00 $ 129| 3,76,705.96 | 2,500.00 2,825.29 | 131| 3,77,358.99 | 2,500.00| 2,835.16 | 2 , 840 . 21 و| 135$ 136| 137| 3,78,694.70 | 3,79,034.91 $ 3,79,377.67 | 2,500.00| 2,500.00$ 2,500.00| 301.87 | -304.14 | -306.42| -308.72 | -311.03 | -313.37 | -315.72 | 318.08 | -320.47 | -322.87 | -325.29 | -327.73| -330.19 | -332.67$ 335.16| -337.68 | -340.21| -342.76 | -345.33 | -347.92 $ -350.53 | -353.16 | -355.81 | -358.48 | -361.17 | -363.88 | -366.60 | -369.35 | -372.12 | -374.92$ -377.73 | -380.56 | -383.41 | -386.29 | -389.19 | -392.11| -395.05 | -398.01$ -400.99 $ -404.00 $ 3,73,885.15 | 3,74,189.28 3,74,495.70 3,74,80442 3,75,115.46 | 3,75,428.82 3,75,74.54 3,76,062.62 3,76,383.09 | 3,76,705.96 | 3,77,031.26 | 3,77,358.99 3,77,689.19 | 3,78,021.85 3,78,357.02 3,78,694.70 3,79,034,91 3,79,377.67 3,79,723.00 | 3,80,070.92 3,80,421.46 | 3,80,774.62 3,81,130.43 3,81,488.90 3,81,850.07 3,82,213.95 3,82,580.55 | 3,82,949.90 | 3,83,322.03 3,83,696.94 3,84,074.67 3,84455.23 3,84,838.65 | 3,85,224.94 3,85,614.12 3,86,006.23 3,86,401.28 3,86,799.28 3,87,200.28 3,87,604.28 139$ 2,847.92$ 2,850.53 | $ 2,853.16 | 2,855.81$ 3,80,070.92$ 2,500.00| 142| 3,81,130.43 | 2,500.00| 2,861.17 | $ و143 و14 و145 3 , 81 , 488 . 90 | 3 , 81 , 850 . 07 | 3 , 82 , 213 . 95 $ 2 , 500 . 00 $ 2 , 500 . 00 $ 2 , 500 . 00 | 2 , 863 . 88 وا 2,872.12 2,874.92 $ 147| 148$ 149 $ 150 $ 3,82,949.90 | 3,83,322.03 3,83,696.94 | 3,84,074.67 | 2,500.00| 2,500.00| 2,500.00| 2,500.00| 2,880.56 | 2,883.41 | و151 3 , 84 , 455 . 23 | 2 , 500 . 00 $ 152| 1535 3,84,838.65 | 3,85,224.94 | 2,500.00| 2,500.00 $ 2,889.19 | 2,892.11 155$ 3,86,006.23 | 2,500.00| |156 3 , 86 , 401 . 28 | 2 , 500 . 00 و| 157| 3,86,799.28 | 2,500.00$ و158 و159 3 , 87 , 200 . 28 | 3 , 87 , 604 . 28 | 2 , 500 . 00 $ 2 , 500 . 00 | 2,904.00 $ 2,907.03$ 160| 161| 162| 163| 164$ 3,88,011.31| 3,88,421.40 | 3,88,834.56 | 3,89,250.82 3,89,670.20 | 2,500.00| 2,500.00 2,500.00| 2,500.00| 2,500.00| ۔ 407 . 03 | ۔ 410 . 08 | ۔ 413 . 16 | ۔ 416 . 26 | ۔ 419 . 38 | 3 , 88 , 011 . 31 3 , 88 , 421 . 40 3 , 88 , 834 . 56 | 3 , 89 , 250 . 82 3 , 89 , 670 . 20 | 2,919.38 | 2,922.53| -422.53 | 3,90,092.73 1653 3 , 90 , 092 . 73 و 2 . 500 . 00 $ 166| 3,90,518.42| 2,500.00 | $ 2,928.89 2,932.10| ۔ 25 . 70 | ۔ 428 . 89 | ۔ 432 . 10 | 3 , 90 , 518 . 42 3 , 90 , 947 . 31 3 , 91 , 379 . 41 و167 3 , 90 , 947 . 31 | 2 , 500 . 00 $ -435.35 | -438.61 | 3,91,814.76 3,92,253.37 168$ 1695 170 $ 171$ 172$ 3,91,379.41| 3,91,814.76 | 3,92,253.37 | 3,92,695.27 | 3,93,140.49$ 2,500.00| 2,500.00 $ 2,500.00| 2,500.00| 2,500.00| 2,945.21 2,948.55 | 2,955.31 | 174| 175$ 176| 177| 178$ 179$ 180$ 181| 182$ 1835 184| 1853 2,962.16 | 2,965.63| ۔ 1 . 90 | ۔ 5 . 21 | ۔ 48 . 55 | ۔ 451 . 92 | ۔ 455 . 31 | ۔ 458 . 72 | ۔ 462 . 16 | ۔ 65 . 63 | ۔ 469 . 12 | ۔ 472 . 64 | ۔ 476 . 18 | 3,94,040.96 | 3,94,496.26 | 3,94,954.99 $ 3,95,417.15 | 3,95,882.78 | 3,96,351.90 | 3,96,824.54 | 3,97,300.72 | 3,97,780.48 | 3,98,263.83 | 3,98,750.81$ 3,99,241.4|5 2,972.64 | 3 , 92 , 695 . 27 3 , 93 , 140 . 49 3 , 93 , 589 . 04 3 , 94 , 040 . 96 3 , 94 , 496 . 26 3 , 94 , 954 . 99 3 , 95417 . 15 3 , 95 , 882 . 78 3 , 96 , 351 . 90 3 , 96 , 824 . 54 | 3 , 97 , 300 . 72 2,500.00| 2,500.00| 2,500.00 2,500.00| 2,500.00 $ 2,500.00$ 2,500.00| 2,500.00 $ 2,500.00 $ 2,500.00| 2,500.00$ 2.500.00 $ -479.76 | 3,97,780.48 ۔ 483 . 35 | ۔ 486 . 98 | 3 , 98 , 263 . 83 3 , 98 , 750 . 81 2,986.98 | : و186 3 , 99 , 735 . 75 | 2 , 500 . 00 و| 3 , 001 . 75 و : 3,005.52 | 3,009.31| 3,013.13| 3,016.98 | 187$ 188 $ 189| 190$ 191$ 192| 193$ 194$ 195$ 1963 1973 198$ 199$ 200| 201$ 4,00,233.77 | 4,00,735.52| 4,01,241.04 | 4,01,750.35 | 4,02,263.47 | 4,02,780.45 | 4,03,301.30 | 4,03,826.06 | 4,04,354.76 | 4,04,887.42| 4,05,424.07 | 4,05,964.76 | 4,06,509.49 | 4,07,058.31| 4,07,611.25 | 2,500.00| 2,500.00 2,500.00 $ 2,500.00 | 2,500.00$ 2,500.00| 2,500.00 | 2,500.00$ 2,500.00| 2,500.00 $ 2,500.00 $ 2,500.00$ 2,500.00 2,500.00$ 2,500.00$ 3,028.70 $ : 3,052.94 | -490.63 | -94.31 | -498.02 | -501.75 | -505.52| -509.31| -513.13 | -516.98 | -520.85 | -524.76 | -528.70 $ -532.66 | -536.66 | -540.68 $ -54.74 | -548.82| -552.94 | -557.08 | -561.26 | -565.47 | -569.71 | -573.99 $ -578.29 | -582.63 | -587.00 $ -591.40 | -595.84| -600.30 | -604.81$ -609.34 | -613.91$ -618.52| -623.16 | -627.83 | 3,99,241. 3,99,735.75 4,00,233.77 4,00,735.52 | 4,01,241.04 4,01,750.35 4,02,263.47 4,02,780.45 4,03,301.30 | 4,03,826.06 | 4,04,354.76 4,04,887.42 4,05424.07 4,05,964.76 4,06,509.49 4,07,058.31 4,07,611.25 4,08,168.33 4,08,729.60 4,09,295.07 4,09,864.78 4,10,438.77 4,11,017.06 4,11,599.69 | 4,12,186.68 412,778.08 413,373.92 413,974.22 | 4,14,579.03 4,15,188.37 4,15,802.29 4,16,420.80 | 4,17,043.96 4,17,671.79 3,061.26 | 3,065.47$ 204$ 205 $ 206; 4,09,295.07 | 4,09,864.78 | 4,10,438.77 | 2,500.00| 2,500.00$ 2,500.00 | 3,073.99 $ 3,078.29 | 3,082.63| 209$ 4,12,186.68 | 2,500.00$ 3,100.30 | 3,104.81| $ 211; 212 213 214; 4,13,373.92$ 413,974.22 | 414,579.03 | 4,15,188.37 | 2,500.00 2,500.00 2,500.00 2,500.00 | 3,113.91| و215 4 , 15 , 802 . 29 | 2 , 500 . 00 و| 216| 217| 218; 219| 4,16,420.80$ 4,17,043.96 |$ 4,17,671.79 | 4,18,304.33 | 2,500.00$ 2,500.00 $ 2,500.00 | 2,500.00 $ 3,127.83$ 3,132.54 | 3,137.28$ ۔ 632 . 54 | ۔ 637 . 28 | 4 , 18 , 304 . 33 4 , 18 , 941 . 61 و 220 4 , 18 , 941 . 61 | 2 , 500 . 00 و| 3 , 142 . 06 و | $ 22113 222$ 223$ 419,583.67 | 420,230.55 | 420,882.28 | 2,500.00 2,500.00 | 2,500.00 3,146.88 $ 3,151.73 3,156.62 | 3 , 161 . 54 و و 225 4 , 22 , 200 . 44 | 2 , 500 . 00 $ 226$ 422,866.94 | 2,500.00 | 3,171.50 | 3 , 176 . 54 و و227 و228 423 , 538 . 44 | 424 , 214 . 98 | 2 , 500 . 00 $ 2 , 500 . 00 و| 3,181.61$ 229$ 424,896.59 | 2,500.00$ 3 , 186 . 72 و 231| 426,275.19 | 2,500.00 $ 3,197.06 | و232 426 , 972 . 26 | 2 , 500 . 00 | 233 $ 234 $ 427,674.55 | 428,382.11| 2,500.00$ 2,500.00 | 3,207.56 | 3,212.87$ 3,218.21|$ و235 429 , 094 . 97 | 2 , 500 . 00 $ 236$ 2375 238$ 429,813.19 | 4,30,536.78 | 4,31,265.81 | 2,500.00 2,500.00 2,500.00 | $ $ : 3,234.49 | 3,240.00$ 3,245.55 | |240 4 , 32 , 740 . 31 | 2 , 500 . 00 و| 241| 4,33,485.86 | 2,500.00$ -642.06 | 4,19,583.67 -646.88 | 420,230.55 -651.73$ 420,882.28 -656.62| 421,538.90 | -661.54 | 4,22,200. -666.50| 422,866.94 -671.50 | 423,538.4 -676.54 | 4,24,214.98 -681.61 | 424,896.59 -686.72 | 425,583.32 -691.87$ 4,26,275.19 -697.06 | 26,972.26 - 702.29 | 427,674.55 - 707.56 | 428,382.11 -712.87$ 429,094.97 -718.21| 429,813.19 | -723.60 |$ 4,30,536.78 -729.03 | 4,31,265.81 -734.49 $ 4,32,000.30 - 740.00 $ 4,32,740.31 - 745.55 | 4,33,485.86 | - 751.14|3 434 237.00 - 756.78 $ 4,34,993.78 - 762.45 | 435,756.23| -768.17 |$ 4,36,524.41 -773.93 | 437,298.34 -779.74 | 4,38,078.08 - 785.59 | 4,38,863.66 | -791.48 | 4,39,655.14 -797.41 | 4,40,452.55 | -803.39 | 441,255.95 -809.42 | 4,42,065.37 -815.49 $ 442,880.86 -821.61 | 43,702.46 | -827.77 | 44,530.23 -833.98 | 4,45,364.21 -840.23 | 446,204. -846.53 | 447,050.97 -852.88 | 4,47,903.86 -859.28 | 4,48,763.13 -865.72 | 4,49,628.86 -872.22$ 4,50,501.07 -878.76 $ 4,51,379.83 -885.35 | 452,265.18 | -891.99 $ 4,53,157.17 -898.68$ 4,54,055.85 | 2433 434,993.78 | 2,500.00 $ ا24 435 , 756 . 23 | 2 , 500 . 00 | 245| 246| 247| 4,36,524.15 437,298.34 | 4,38,078.08 | 2.500.00 2,500.00 | 2,500.00 3,268.17 | 3,273.93$ 3,279.74| 3,285.59 | 249 $ 4,39,655.14 | 2,500.00$ 3,309.42|$ 3,315.49 | 253 $ 254 $ 255$ 4,42,880.86 | 4,43,702.46 | 4,44,530.23 $ 2,500.00$ 2,500.00 | 2,500.00$ _ 3,327.77| و256 445 , 364 . 21 | 2 , 500 . 00 $ 3 , 340 . 23 | 257$ 258| 446,204.44 | 4,47,050.97 | 2,500.00$ 2,500.00 | و 259 447 , 903 . 86 | 2 , 500 . 00 $ 3,352.88 | 3,359.28 | 3,365.725 3,372.22$ 260| 261$ 4,48,763.13 | 4,49,628.86 | 2,500.00| 2,500.00$ و263 4 , 51 , 379 . 83 | 2 , 500 . 00 3 , 385 . 35 و 264$ 265$ 4,52,265.18 | 4,53,157.17 | 2,500.00| 2,500.00 $ 3,398.68 $ 267; 268| 269$ 4,54,961.27 | 4,55,873.48 | 4,56,792.53 | 2,500.00 | 2,500.00] 2,500.00$ 3,412.21| 3,419.05 | 3,425.94 | ۔ 905 . 42 | ۔ 912 . 21 | ۔ 919 . 05 | 4 , 54 , 961 . 27 4 , 55 , 873 . 48 | 4 , 56 , 792 . 53 925.94 | -932.89 $ 4,57,718.47 4,58,651.36 | و 270 457 , 718 . 47 | 2 , 500 . 00 | 3 , 432 . 89 | ۔ 939 . 89 | ۔ 946 . 93 | 4 , 59 , 591 . 25 4 , 60 , 538 . 18 $ 272| 273| 274| 4,59,591.25 | 4,60,538.18 | 4,61,492.22 | 2,500.00 2,500.00 | 2,500.00 | 3,46.93$ 3,454.04 | 3,461.19 | -954.04 | 4,61,492.22 ۔ 961 . 19 | 4 , 62 , 453 . 41 و275 4 , 62 , 453 . 41 | 2 , 500 . 00 | 3 , 468 . 40 و -968.40 | -975.66 | 4,63,421.81 4,64,397.47 3,482.98 | 3,490.35 | 3,497.78 $ ۔ 982 . 98 | ۔ 990 . 35 | ۔ 997 . 78 | 4 , 65 , 380 . 45 | 4 , 656 , 370 . 81 4 , 67 , 368 . 59 277| 278/$ 279| 280 $ 281$ 2820 $ 283$ 4,64,397.47 | 4,65,380.45 | 4,66,370.81 | 4,67,368.59 | 4,68,373.85 | 4,69,386.66 | 470,407.06 | 2,500.00 | 2,500.00 | 2,500.00 | 2,500.00$ 2,500.00$ 2,500.00 | 2,500.00$ -1,005.26 | -1,012.80 | 4,68,373.85 4,69,386.66 | 3,520.40 | 3,528.05 | 3,535.76 | ۔ 1 , 020 . 40 | ۔ 1 , 028 . 05 | 4 , 70 , 407 . 06 471 , 435 . 11 -1,035.76 | 1,043.53 | 4,72470.87 4,73,514.40 285$ 286| 287| 4,72,470.87$ 473,514.40 | 4,74,565.76 | 2,500.00$ 2,500.00 | 2,500.00$ 3,551.36 | ۔ 1 , 051 . 36 | 474 , 565 . 76 -1,059.24 | 475,625.00 | ۔ 1 , 067 . 19 | 4 , 76 , 692 . 19 289 $ 290 $ 291| 4,76,692.19 | 477,767.38 | 4,78,850.64 | 2,500.00$ 2,500.00 | 2,500.00 $ 3,575.19| 3,583.26 | 3,591.38 | -1,075.19 | -1,083.26 | -1,091.38 | 1,099.57 | -1,107.81$ 4,77,767.38 4,78,850.64 479,942.02 4,81,041.58 4,82,149.40 | و292 479 , 942 . 02 | 2 , 500 . 00 $ 3 , 599 . 57 و| 293 $ 4,81,041.58 | 2,500.00$ و 294 4 , 82 , 149 . 40 | 2 , 500 . 00 | 3 , 616 . 12 | ۔ 1 , 116 . 12 | 4 , 83265 . 52 -1,124.49 | 4,84,390.01 295$ 296$ 297|$ 4,83,265.52| 4,84,390.01 | 4,85,522.93 | 2,500.00$ 2,500.00| 2,500.00 3 , 632 . 93 و ۔ 1 , 132 . 93 | 4 , 85 , 522 . 93 3,641.42|$ 1,141.42 | -1,149.98 | 4,86,664.35 | 4,87,814.34 وو29 4 , 87 , 814 . 34 | 2 , 500 . 00 $ ۔ 1 , 158 . 61 | 4 , 838 , 972 . 95 | 3,658.61$ 3,667.30 | -1,167.30 | -1,176.05 | 4,90,140.24 4,91,316.29 3015 490,140.24 | 2,500.00 $ : و302 491 , 316 . 29 | 2 , 500 . 00 $ 3 , 684 . 87 | ۔ 1 , 184 . 87 | ۔ 1 , 193 . 76 | 492 , 501 . 17 4 , 93 , 694 . 92 303| 492,501.17 | 2,500.00 3,711.73| -1,202.715 4,94,897.64 -1,211.73$ 4,96,109.37 -1,220.82 | 4,97,330.19 -1,229.98 | 4,98,560.17 -1,239.20 | 4,99,799.37 -1,248.50 $ 5,01,047.86 | -1,257.86 | 5,02,305.72 3,739.20| 3,748.50$ |309 $310 499 , 799 . 37 | 5 , 01 , 047 . 86 | 2 , 500 . 00 و| 2 , 500 . 00 | 3 , 757 . 86 و ۔ 1 , 267 . 29 | 5 , 03 , 573 . 01 $ $ 312$ 313| 5,03,573.01 5,04,849.81| 2,500.00 2,500.00 -1,276.80 | -1,286.37 |$ -1,296.02 | 5,04,849.81 5,06,136.19 | 5,07,432.21 $315 5 , 07 , 432 . 21 و 2 , 500 . 00 $ _ 3,805.74 | ۔ 1 , 305 . 74 | ۔ 1 , 315 . 53 | 5 , 08 , 737 . 95 5 , 10 , 053 . 48 3 , 815 . 53 و 316| 3173 5,08,737.95 | 5,10,053.48 | 2,500.00| 2,500.00 $ : |318 5 , 11 , 378 . 88 | 2 , 500 . 00 $ 3 , 835 . 34 و | 319 5,12,714.23 | 2,500.00 -1,325.40 |$ -1,335.34 | -1,345.36 | -1,355.45 | -1,365.61$ -1,375.85 | 5,11,378.88 5,12,71423 5,14,059.58 5,15,415.03 5,16,780.64 5,18,156.50 321| $ 3220 $ 323 $ 324| 325$ 5,15,415.03 | 5,16,780.64 | 5,18,156.50 | 5,19,542.67 | 5,20,939.24 | 2,500.00$ 2,500.00 | 2,500.00 2,500.00| 2,500.00 3,855.45 | 3,865.61$ 3,875.85$ 3,886.17 | $ ۔ 1 , 386 . 17 | 5 , 19 , 542 . 67 -1,396.57 | 5,20,939.24 ۔ 1 , 407 . 04 | ۔ 1 , 417 . 60 | ۔ 1 , 428 . 23 | 5 , 22 , 346 . 28 5 , 23 , 763 . 88 525 , 192 . 11 و327 5 , 23 , 763 . 88 | 2 , 500 . 00 $ 3,928.23| 329 $ 5,26,631.05 | 2,500.00$ 3,949.73$ - 1,438.94 | .1, 9.73 | - 1,460.61 | 5,26,631.05 5,28,080.78 5,29,541.39 ۔ 1 , 471 . 56 | 5 , 31 , 012 . 95 | - 1,482.60 | 5,32,495.55 $ ۔ 1 , 493 . 72 | 5 , 33 , 989 . 26 333| 334 $ 335 $ 5,32,495.55 | 5,33,989.26 | 5,35,494.18 | 2,500.00 2,500.00 2,500.00 و 336 |337 |338 5 , 37 , 010 . 39 | 5 , 38 , 537 . 97 | 5 , 40 , 077 . 00 | 2 , 500 . 00 | 2 , 500 . 00 $ 2 , 500 . 00 | 4 , 027 . 58 | 4 , 039 . 03 و 4 , 050 . 58 و | -1,504,92| -1,516.21| -1,527.58 | -1,539.03 | -1,550.58 | -1,562.21| -1,573.92 | -1,585.73 $ -1,597.62 | 5,35,494.18 5,37,010.39 | 5,38,537.97 5,40,077.00| 5,41,627.58 5,43,189.79 5,4,763.71 5,46,349.4 5,47,947.06 4,062.21 | 339 $ 340| 5,41,627.58 | 5,43,189.79 | 2,500.00 | 2,500.00| |341 5 , 4 , 763 . 71 | 2 , 500 . 00 و| $ 4,085.73 4,097.62 342 546,349.44 | 2,500.00 $ ۔ 1 , 609 . 60 | ۔ 1 , 621 . 67 5 , 49 , 556 . 66 5 , 51 , 178 . 34 $ 344 $ 345| 5,49,556.66 | 5,51,178.34 | 2,500.00$ 2,500.00| 4,121.67$ 4,133.84| 1,633.84 | 5,52,812.18 و 346 5 , 52 , 812 . 18 | 2 , 500 . 00 | 4 , 146 . 09 | ۔ 1 , 646 . 09 | 5 , 54 , 458 . 27 347| 348| 349| 5,54,458.27| 5,56,116.70 | 5,57,787.58 | 2,500.00 $ 2,500.00 $ 2,500.00$ 4,158.44 | 4,170.88 $ 4,183.41 | 1,658.44 | -1,670.88 $ 1,683.41 | 5,56,116.70 | 5,57,787.58 5,59,470.99 $ 350 5 , 59 , 470 . 99 $ 2 , 500 . 00 $ 4 , 196 . 03 و ۔ 1 , 696 . 03 | 5 , 61 , 167 . 02 و352 و353 5 , 62 , 875 . 77 | 5 , 64 , 597 . 34 | 2 , 500 . 00 $ 2 , 500 . 00 $ 4221 . 57 | 4234 . 48 و 355 $ 356$ 357| 358| 359 360 $ 360 $ 5,68,079.31| 5,69,839.90 | 5,71,613.70$ 5,73,400.80$ 5,75, 201.31| 5,77,015.32 | 5,78,842.94 2,500.00 $ 2,500.00 2,500.00| 2,500.00 $ 2,500.00 $ 2,500.00 $ 4,260.59 | 4,273.80$ 4,287.10 | 4,300.51 | 4,314.01 | 4,327.61 | -1,708.75 | -1,721.57 | -1,734.48 | -1,747.49 | -1,760.59 | -1,773.80 | -1,787.10 | -1,800.51 | -1,814.01$ 5,62,875.77 5,64,597.34 5,66,331.82 5,68,079.31 5,69,839.90 | 5,71,613.70 5,73,400.80| 5,75,201.31 5,77,015.32 ۔ 1 , 827 . 61 $ 5 , 78 , 842 . 94 5,78,842.94 | $ 9 , 00 , 000 . 00 $ 11 , 28 , 842 . 94 و

• Opening balance = previous year's closing balance
• Closing balance = Opening balance+Loan-Principal repayment
• PMT is calculated as per the above formula
• Interest = 0.09 /12 x opening balance
• Principal repayment = PMT - Interest
• As the interest is higher than the Payment amount so the principal repayment will go increasing which needs to be paid off at the end to the last month in the form of a Balloon payment
• Balloon payment is 578842.94 as calculated earlier.