Complete an amortization schedule for a $$41,000$ loan to be repaid in equal installments at the end of each of the next $3$ years. The interest rate is $8\%$ compounded annually. If an amount is zero, enter $"0".$ Do not round intermediate calculations. Round your answers to the nearest cent.

Beginning Repayment Remaining

Year Balance Payment Interest of Principal Balance

$1$ $

$

$

$

$

$2$

$3$

What percentage of the payment represents interest and what percentage represents principal for each of the $3$ years? Do not round intermediate calculations. Round your answers to two decimal places.

$\%$ Interest $\%$ Principal

Year $1$:

$\%$

$\%$

Year $2$:

$\%$

$\%$

Year $3$:

$\%$

$\%$

Why do these percentages change over time?

These percentages change over time because even though the total payment is constant the amount of interest paid each year is declining as the remaining or outstanding balance declines.

These percentages change over time because even though the total payment is constant the amount of interest paid each year is increasing as the remaining or outstanding balance declines.

These percentages change over time because even though the total payment is constant the amount of interest paid each year is declining as the remaining or outstanding balance increases.

These percentages change over time because even though the total payment is constant the amount of interest paid each year is increasing as the remaining or outstanding balance increases.

These percentages do not change over time; interest and principal are each a constant percentage of the total payment.

Madsen Motors's bonds have $10$ years remaining to maturity. Interest is paid annually, they have a $$1,000$ par value, the coupon interest rate is $12\%,$ and the yield to maturity is $13\%.$ What is the bond's current market price? Round your answer to the nearest cent.ne year from today you must make a payment of $$5,000.$ To prepare for this payment, you plan to make two equal quarterly deposits $($at the end of Quarters $1$ and $2)$ in a bank that pays $4\%$ nominal interest compounded quarterly. How large must each of the two payments be$?$ Do not round intermediate calculations. Round your answer to the nearest cent.

$

$ eBook

Simon recently received a credit card with a $15\%$ nominal interest rate. With the card, he purchased an Apple iPhone $11$ for $$700.$ The minimum payment on the card is only $$20$ per month.

If Simon makes the minimum monthly payment and makes no other charges, how many months will it be before he pays off the card? Do not round intermediate calculations. Round your answer to the nearest whole number.

month$($s$)$

If Simon makes monthly payments of $$65,$ how many months will it be before he pays off the debt? Do not round intermediate calculations. Round your answer to the nearest whole number.

month$($s$)$

How much more in total payments will Simon make under the $$20-$a$-$month plan than under the $$65-$a$-$month plan? Do not round intermediate calculations. Round your answer to the nearest cent.

$