Question: Please solve this problem using excel and explain each of your steps You borrow money on a self liquidating installemnt loan (equal payments at the

Please solve this problem using excel and explain each of your steps

You borrow money on a self liquidating installemnt loan (equal payments at the end of each year, each payment is part principal part interest) Loan $118,000 Interest Rate 15.50% Life (years) 66 Date of Loan January 1, 2020 Use the installment method - not straight line Do NOT round any interrmediate numbers. Do NOT turn this into a monthly problem. a) What is the annual payment? b) What are the total interest payments? c) After 36 payments have been made, what percentage of the total interest has been paid (round to the nearest percentage point)? d) After 36 payments have been made, what percentage of the total principal has been paid (round to the nearest percentage point)? Redo the problem if the interest rate is 3.00% (for a well designed spreadsheet this should take 30 seconds) e) What is the annual payment? f) What are the total interest payments ? g) After 36 payments have been made, what percentage of the total interest has been paid (round to the nearest percentage point)? h) After 36 payments have been made, what percentage of the total principal has been paid (round to the nearest percentage point)

Step by Step Solution

There are 3 Steps involved in it

1 Expert Approved Answer

Step: 1 Unlock blur-text-image

Question Has Been Solved by an Expert!

Get step-by-step solutions from verified subject matter experts

Step: 2 Unlock

Step: 3 Unlock

Students Have Also Explored These Related Accounting Questions!

can you please email me the answer with an excel sheet over homework.baruch at google mail period com Loan Problem Instructions: Follow these instructions carefully . You dont want to lose points for...

need answer in excel Use the following check digits: Sum Total Cash flow = Sum interest paid Owe at end = $0 2 You borrow money on a self liquidating installemnt loan (equal payments at the end of...

What are the excel forumals I should put in to find Questions A,B,C,D? Home Insert Draw Page Layout Formulas Data Review View Tell me Share Comments Calibri (Body) = = = ab 11 LI % 8 O Conditional...

Sum Total Cash flow = Sum interest paid Owe at end = $0 Sum Principal repaid = amount borrowed Sum Total Payment = Sum Interest paid + Sum principal repaid IRR of the cash flows = interest rate You...

You borrow money on a self liquidating installment loan (equal payments at the end of each year, each payment is part principal part interest) PLEASE INCLUDE THE EXCEL FORMULAS YOU USE TO GET YOUR...

You borrow money on a self liquidating installemnt loan (equal payments at the end of each year, each payment is part principal part interest) Loan $438,000 Interest Rate 16.70% Life (years) Date of...

You borrow money on a self liquidating installemnt loan (equal payments at the end of each year, each payment is part principal part interest) Loan $939,000 Interest Rate 11.00% Life (years) 62 Date...

You Borrow money on a self liquidating installemnt loan (equal payments at the end of each year, each payment is part principal part interest) You borrow money on a self liquidating installemnt loan...

You borrow money on a self liquidating installemnt loan (equal payments at the end of each year, each payment is part principal part interest) 2 You borrow money on a self liquidating installemnt...

Loan Problem Instructions: Follow these instructions carefully . You dont want to lose points for not following instructions. Go to Blackboard / Course Documents/ Loan Problem / Questions. Download...

A 1000-par bond pays 5% annual coupons and is priced to yield an effective annual rate of 7.5%. The write- up of discount during the first year is 3.55. Determine the price of the bond. O 738 745 714...

The values of are also called binomial coefficients. Expand (x + l)3 and (x + l)4 and check that the coefficient of the kth power of x is in the first case and in the second. The values have many...

Hsu Company has eight major section headings in its balance sheet, which include Current Assets, Long - Term Investments, Property, Plant, and Equipment, Intangible Assets, Current Liabilities, Long...

Drabek describes the changing nature of disasters in Chapter 2 . Discuss three main reasons why disasters seem to be increasing in number and intensity. Describe the effects of these changes on...

How do you try to manipulate your unique smell?

Recently, the author of this excellently written text had several male students from Saudi Arabia enrolled in his class. Oftentimes in his class, the author distributes handouts to the students. The...

Perhaps the first key step in becoming a competent communicator with your nonverbal communication is to become aware of your own nonverbal behavior. For example, when you wait in line at the lunch...