Question: why is the total interest expense incorrect here? SUM X V fx =C14*$C$8 A B C D E F G H Instructions: Reset Parameters Build
why is the total interest expense incorrect here?
SUM X V fx =C14*$C$8 A B C D E F G H Instructions: Reset Parameters Build a model to track the balance from making monthly payments on a loan of $240,000 over 19 years Assume a discount rate of 4% (stated as an APR). Show Precise Answer Dynamic Inputs Your Answers Approx. Answers Loan Balance $240,000 Monthly Rate (APR) 0.33339 0.3330% Discount Rate 4.0% Payment $1,504.49 1,500 Years 19 Total Interest Expense $137,789.85 $103,000 10 Number of Payments 228 $230 11 12 Interest 13 Month Beginning Balance Expense Payments Ending Balance 14 $240,000 !=C14*$C$8 $1,504.49 $231,904.49 $231,904.49 $9,276.2 $1,504.49 $224,132.80 $224,132.80 $8,965.3 $1,504.49 $216,671.97 $216,671.97 $8,666.9 $1,504.49 $209,509.58 6 0 VOUTAWNEY $209,509.58 $8,380.4 $1,504.49 $202,633.69 $202,633.69 $8,105.3 $1,504.49 $196,032.83 $196,032.83 $7,841.3 $1,504.49 $189,696.01 $189,696.01 $7,587.8 $1,504.49 $183,612.65 $183,612.65 $7,344.5 $1,504.49 $177,772.64 10 $177,772.64 $7,110.9 $1,504.49 $172,166.22 11 $172,166.22 $6,886.6 $1,504.49 $166,784.06 12 $166,784.06 $6,671.4 $1,504.49 $161,617.19 13 $161,617.19 $6,464.7 $1,504.49 $156,656.99 14 $156,656.99 $6,266.3 $1,504.49 $151,895.20 15 $151,895.20 $6,075.8 $1,504.49 $147,323.88 16 $147,323.88 $5,893.0 $1,504.49 $142,935.41 17 $142,935.41 $5,717.4 $1,504.49 $138,722.48 18 $138,722.48 $5,548.9 $1,504.49 $134,678.07 19 $134,678.07 $5,387.1 $1,504.49 $130,795.44 20 $130,795.44 $0.C $1,504.49 $132,299.93 21 $132,299.93 $0.0 $1,504.49 $133,804.42 22 $133,804.42 $0.0 $1,504.49 $135,308.90 23 $135,308.90 $0.0 $1,504.49 $136,813.39 24 $136,813.39 $0.0 $1,504.49 $138,317.88 38 25 $138,317.88 $0.0 $1,504.49 $139,822.37Step by Step Solution
There are 3 Steps involved in it
1 Expert Approved Answer
Step: 1 Unlock
Question Has Been Solved by an Expert!
Get step-by-step solutions from verified subject matter experts
Step: 2 Unlock
Step: 3 Unlock
