Use the amortization table below to answer the following questions. The loan is for 5 years at 5.5% interest on a $30,000 car. Year Interest Principal Balance 2011 $1,516.22 $5,360.20 $24,639.80 2012 $1,213.86 $5,662.56 $18,977.24 2013 $894.45 $5,981.97 $12,995.27 2014 $557.02 $6,319.40 $6,675.87 2015 $200.55 $6,675.87 $0.00 a. How much are the yearly payments? b. If you traded your car in at the end of the 3 rd year (2013) and it was worth $15,500, how much would you get to put towards the new car that you are buying after paying back the bank?
Use the amortization table below to answer the following questions. The loan is for 5 years at 5.5% interest on a $30,000 car. Year Interest Principal Balance 2011 $1,516.22 $5,360.20 $24,639.80 2012 $1,213.86 $5,662.56 $18,977.24 2013 $894.45 $5,981.97 $12,995.27 2014 $557.02 $6,319.40 $6,675.87 2015 $200.55 $6,675.87 $0.00 a. How much are the yearly payments? b. If you traded your car in at the end of the 3 rd year (2013) and it was worth $15,500, how much would you get to put towards the new car that you are buying after paying back the bank?
Chapter13: Long-term Liabilities
Section: Chapter Questions
Problem 1EB: Sharapovich Inc. borrowed $50,000 from Kerber Bank and signed a 5-year note payable stating the...
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Use the amortization table below to answer the following questions. The loan is for 5 years at 5.5% interest on a $30,000 car.
Year Interest Principal Balance
2011 $1,516.22 $5,360.20 $24,639.80
2012 $1,213.86 $5,662.56 $18,977.24
2013 $894.45 $5,981.97 $12,995.27
2014 $557.02 $6,319.40 $6,675.87
2015 $200.55 $6,675.87 $0.00
a. How much are the yearly payments?
b. If you traded your car in at the end of the 3 rd year (2013) and it was worth $15,500, how much would you get to put towards the new car that you are buying after paying back the bank?
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