Thornhill Equipment Co. borrowed $24 000 at 11% compounded semi-annually. It is to repay the loan by payments of $2500 at the end of every six months.
(a) How many payments are required to repay the loan?
(b) How much of the sixth payment is interest? (c) How much of the principal will be repaid in the 10th payment period?
(d) Construct a partial amortization schedule showing details of the first three payments, the last three payments, and totals.