2. Quarterly payments are to be made against a P50,500 loan at 795% compounded annually with a seven-year amortization. Construct a complete amortization schedule and calculate the total interest. Answer the following questions: a. What is the size of the quarterly payment? b. Calculate the principal portion of the sixth payment. Calculate the interest portion of the 17th payment. Calculate how much the principal will be reduced in the fourth year. Calculate the total interest paid in the first year. C. d. е.

2. Quarterly payments are to be made against a P50,500 loan at 795% compounded annually with a seven-year amortization. Construct a complete amortization schedule and calculate the total interest. Answer the following questions: a. What is the size of the quarterly payment? b. Calculate the principal portion of the sixth payment. Calculate the interest portion of the 17th payment. Calculate how much the principal will be reduced in the fourth year. Calculate the total interest paid in the first year. C. d. е.

ENGR.ECONOMIC ANALYSIS

14th Edition

ISBN:9780190931919

Author:NEWNAN

Publisher:NEWNAN

Chapter1: Making Economics Decisions

Section: Chapter Questions

Problem 1QTC

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