You borrow a GPM of $120,000 with annual payments and 30-year term. The interest rate is 10% and the payment factors from year 1 to year 30 are: 10%, 20%, 30%, 40%, 50%, 60%, 70%, 80%, 90%, 100%, ..., 100%.
Comment by Maira Alejandra Soto: Change the spreadsheet. I calculated the GPM with the same model that DR Lin had used in class. I kept the same idea of the colors.

1). What are the annual payments for years 1 to 30?
2). What is the remaining balance at the end of each year?
3). What are the interest payment and principal payment for years 1 to 30?

Answer rating: 100% (QA)

answers Sol 1 to 3 We would use PMT function in Excel to find the Annual Payment with Different Payment Factors PMT function is use to calculate the A... View the full answer