1. Excel: Complete the amortization table provided in the Excel document posted in Ivylearn in the homework area by setting the appropriate values for a $165,000, 30-year mortgage at 4.5% interest and using Excel's autofill (drag) feature to fill in the cells to the end of the mortgage period. Use this to answer the following: a. How much of the first payment goes towards the principal? How much goes toward the interest? b. How much of the last payment goes towards the principal? How much goes toward the interest? c. Find the total interest paid by the end of the mortgage.
1. Excel: Complete the amortization table provided in the Excel document posted in Ivylearn in the homework area by setting the appropriate values for a $165,000, 30-year mortgage at 4.5% interest and using Excel's autofill (drag) feature to fill in the cells to the end of the mortgage period. Use this to answer the following: a. How much of the first payment goes towards the principal? How much goes toward the interest? b. How much of the last payment goes towards the principal? How much goes toward the interest? c. Find the total interest paid by the end of the mortgage.
Essentials Of Investments
11th Edition
ISBN:9781260013924
Author:Bodie, Zvi, Kane, Alex, MARCUS, Alan J.
Publisher:Bodie, Zvi, Kane, Alex, MARCUS, Alan J.
Chapter1: Investments: Background And Issues
Section: Chapter Questions
Problem 1PS
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Transcribed Image Text:1. Excel: Complete the amortization table provided in the Excel document posted in Ivylearn in the homework
area by setting the appropriate values for a $165,000, 30-year mortgage at 4.5% interest and using Excel's
autofill (drag) feature to fill in the cells to the end of the mortgage period. Use this to answer the following:
a. How much of the first payment goes towards the principal? How much goes toward the interest?
b. How much of the last payment goes towards the principal? How much goes toward the interest?
c. Find the total interest paid by the end of the mortgage.
d. How much will be owed on the mortgage after making payments for 10 years (hint this is 120 months)?
e. How much interest has been paid total on the mortgage at the end of 10 years?
f. How many months will it take to pay at least half of the principal?
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