Question $3$: $($Value $4$ marks$)$

Mrs$.$ Currie borrowed $$8,321$ at $11\mathrm{.}12\%$ compounded monthly. She agreed to repay the loan in

equal end$-$of$-$month payments over five years.

$($a$)$ What is the size of the monthly payment?

$($b$)$ How much principal did Mrs$.$ Currie repay during the first two years of the loan?

$($c$)$ How much interest did Mrs$.$ Currie pay during the last year of the loan?

$($d$)$ What is the outstanding balance after Mrs$.$ Currie has made half of her payments?

Show all inputs and any other necessary work below. Use the table for part $($a$).$

For parts $($b$),($c$),$ and $($d$)$ show the inputs you used for P$1$ and P$2$ in the blank area below.

P$/$Y $=$

C$/$Y $=$

N $=$

I$/$Y $=$

PV $=$

PMT $=$

FV $=$

Final Answers:

$($a