Hannan Company needs to borrow $ 15,000,000 to finance an addition to its manufacturing facilities. It has obtained an installment note at 8 percent interest for 15 years. Payments will be made monthly be-ginning one month from today.
Required:
What is the amount of each monthly payment? Prepare a spreadsheet that indicates the amount of each payment, how much of each payment is interest, how much of each payment is principal, and the remaining balance on the loan for the first two years.