Aloan of $10.000 with iterest at 11% compounded senanualy is repaid in 10 years by equal payments made al the end of each1 month a) What is the size of the perlodic payment? b) Construct an amortization schedule showing the deta of the lest three payments ) What is the total paid and the total interes a) The sire of the periodic payment a Round the final answer to the nearest cent as needed Round all intermedate vales to six decimal places a needed ) ) Complete the table below lor the last three payments in the schedle, staring with the tdtlast payment Round tthe nearnt cent aeeded) Amount Paid Principal epaid Oanding hal nterest Paid Payment Number Tetal Pald =S Round the final anawer to the nearest cent as needed Round all intermediate values to six decimal places an needed) terest Paid Cound the final answer to the nearest cent as needed Round all intesiediate values to six decimal places as needed)
Aloan of $10.000 with iterest at 11% compounded senanualy is repaid in 10 years by equal payments made al the end of each1 month a) What is the size of the perlodic payment? b) Construct an amortization schedule showing the deta of the lest three payments ) What is the total paid and the total interes a) The sire of the periodic payment a Round the final answer to the nearest cent as needed Round all intermedate vales to six decimal places a needed ) ) Complete the table below lor the last three payments in the schedle, staring with the tdtlast payment Round tthe nearnt cent aeeded) Amount Paid Principal epaid Oanding hal nterest Paid Payment Number Tetal Pald =S Round the final anawer to the nearest cent as needed Round all intermediate values to six decimal places an needed) terest Paid Cound the final answer to the nearest cent as needed Round all intesiediate values to six decimal places as needed)
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:A loan of $18.000 with interest at 11% compounded semi-annualy is repaid in 10 years by equal payments made at the end of each 1 month
(a) What is the size of the periodic panyment?
(b) Construct an amortization schedule showing the detas of the last theee payments
(c) What is the total paid and the total interest?
(a) The size of the periodic payment is
(Round the final answer to the nearest cent as needed Round all intermediate values to six decimal placen as needed)
(b) Complets the table below for the last three payments in the schedule, starting with the third to last payent. (Round to the nearest cent an needed )
Payment Number
Amount Paid
terest Paid
Pvincipal Hepaid
Outstanding rincipal alnce
"c) Total Pald s
Round the final answer to the nearest cent as needed Round all intemediate values to sbr decimal places as needed)
nterest Pald = S
Round the final answor to the nearest cent as needed Round al intemiediate values to six decimal places as needed)
Transcribed Image Text:A loan of $18.000 with interest at 11% compounded semi aneually is repaid in 10 years by equal payments made at the end
(a) What is the size of the periodic payment?
(b) Construct an amortization schedule showing the details of the last throe paynents
(c) What is the total pald and the total interest?
f oach 1 month
(a) The size of the periodic payment is S
(Round the final answot to the nearest cent as needed Round all intermediate vakaes to sle dacimal places as needed)
(b) Complete the table below for the last three payments in the schedule, starting with the dto lest payment (Round to te nearest cent as nended)
Amount Paid
Interest Pald
Principal Hepelt
Chutstanding Princial
Payment Number
口
(c) Total Pald
(Round the linal answer to the nearest cent as needed Round all intermediate values to s decimal places as needed)
Interest Pald = $
(Round the final answer to the nearest cent as needed Round all intemediate values to sx decimal places as needed)
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