Section 5.3: Amortization Schedules 5. Construct the amortization schedule for the following loan: 5 year, annual payments, $30,000 loan, APR-8.75%. After constructing the amortization schedule, show the following: a. Calculate OB, using both the retrospective method and the prospective method, and also by using your calculator buttons. Show that you get the same result using all three methods, and that the result matches the number in your amortization schedule, also. b. Calculate the interest paid and principal repaid in year 4 using OB; and show that you get the same result as in the amortization schedule. Also calculate the interest paid and principal repaid in year 4 using your calculator buttons. c. Using your calculator buttons, calculate the interest paid in years 3-5 and the principal repaid in years 3-5. Show these numbers are the same as summing your amortization schedule columns in years 3-5. d. Using the recursive formula for outstanding loan balances in your book, formula (5.3), start with OBo $30,000 and calculate OB, through OBs Section 5.3: Amortization Schedules 5. Construct the amortization schedule for the following loan: 5 year, annual payments, $30,000 loan, APR-8.75%. After constructing the amortization schedule, show the following: a. Calculate OB, using both the retrospective method and the prospective method, and also by using your calculator buttons. Show that you get the same result using all three methods, and that the result matches the number in your amortization schedule, also. b. Calculate the interest paid and principal repaid in year 4 using OB; and show that you get the same result as in the amortization schedule. Also calculate the interest paid and principal repaid in year 4 using your calculator buttons. c. Using your calculator buttons, calculate the interest paid in years 3-5 and the principal repaid in years 3-5. Show these numbers are the same as summing your amortization schedule columns in years 3-5. d. Using the recursive formula for outstanding loan balances in your book, formula (5.3), start with OBo $30,000 and calculate OB, through OBs