A $23,970 loan is to be settled by making payments of $6,999 at the end of every six months. The interest is 7.58% compounded monthly. a) Find the number of payments in the term. N = b) Fill in the missing values of the amortization schedule below. Round off your answers to two decimal places. Enter a positive value for all answers.

A $23,970 loan is to be settled by making payments of $6,999 at the end of every six months. The interest is 7.58% compounded monthly. a) Find the number of payments in the term. N = b) Fill in the missing values of the amortization schedule below. Round off your answers to two decimal places. Enter a positive value for all answers.

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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Question

A $23,970 loan is to be settled by making payments of $6,999 at the end of every six
months. The interest is 7.58% compounded monthly.
a) Find the number of payments in the term. N
=
b) Fill in the missing values of the amortization schedule below.
Round off your answers to two decimal places. Enter a positive value for all answers.
Payment
Number
0
1
2
3
4
Payment
Amount ($) PMT
FA
A
A
A
Interest Portion
($) INT
FA
A
$
Principal Portion
($) PRN
$
A
$
Loan Balance
($) BAL
A
A
$23,970

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