Through poor financial management, Albert has amassed $900 000 in credit card debt.This card charges a 40%

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Through poor financial management, Albert has amassed $900 000 in credit card debt.This card charges a 40% annual rate and compounds monthly.Albert plans to clear his balance over 3 years.

a) Using Excel, compute the monthly payment required to clear the debt within the projected period.

b) Using Excel, prepare the amortization spreadsheet (show formulas).

c) How much interest would Albert have paid at the end of two years?

d) What proportion of the 25th payment is interest?

e) What is the effective rate being charged by the card company?

Related Book For answer-question

Income Tax Fundamentals 2013

ISBN: 9781285586618

31st Edition

Authors: Gerald E. Whittenburg, Martha Altus Buller, Steven L Gill

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Posted Date: May 11, 2024 01:54 PM

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Through poor financial management, Albert has amassed $900 000 in credit card debt.This card charges a 40%

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Okay lets solve this stepbystep a Monthly Payment Calculation Using the PMT function in Excel PMT040... View the full answer

Income Tax Fundamentals 2013

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