Excel template Search (Alt ) File Home Insert Draw Page Layout Formulas Data Review View Help Editing Arial BOA... General 0 31 D Amortization whedule E G H 1 . K 52100000 12.00 3 Loan amount to be paid (PV) Interest rate :) Length ot loan in years) a. Setting up amortization table 8 Calculation of loan payt 9 Forma WNA Repayment of Principal Remain Balance 10 Yen 11 Bernie Balance Payment 1 12 2 13 1 14 15 h. Calculating of Payment Representing Interest and Principal for Each Year PIN 16 Hep 12 tipal 1 18 10 20 Y Che Tuca100% Excel template - Saved O Search (Alto) File Home Insert Draw View Help Editing Page Layout Formulas Data Review BCA. Arial 2 B40 D E H 1 K 20 21 Forms Inter NA NA NA Repaymente! Principal NA NA NA Remaining Balance NA #N/A NA 22 Year Henning Balance 23 Pay 1 WNA SNA 24 2 #NA 25 3 NA NA 26 27. Calculating of Payment Represting Interest and Principal for Kache Year Payment 25 Repeti Yer Hrpet Principal 29 1 NA NA 30 2 INIA ANA 31 3 INA 32 33 34 15 36 32 . Check Tecal 100 WNIA WNIA WNIA F ========== 39 40 Excel Online Structured Activity: Amortization schedule The data on a loan has been collected in the Microsoft Excel Online file below. Open the spreadsheet and perform the required analysis to answer the questions below. . X Open spreadsbest a. Complete an amortization schedule for a $21,000 loan to be repaid in equal installments at the end of each of the ndes three years. The interest rate is 12% compounded annually. Round all answers to the nearest cent. Beginning Balance Repayment of Principal Ending Balance Year Payment Interest 1 $ $ 5 5 $ 2 $ $ $ $ $ 3 5 $ $ b. What percentage of the payment represents interest and what percentage represents principal for each of the three years? Round all answers to two decimal places Interest ". Prinopol % Interest % Principal % Year 1: % Year 2: % % Year 3: % % C. Why do these percentages change over time? 1. 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. II. 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. III. 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. IV. 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 V. These percentages do not change over time; interest and principal are each a constant percentage of the total payment