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Prepare an amortization schedule for a five-year loan of $67,000. The interest r

ID: 2660344 • Letter: P

Question

Prepare an amortization schedule for a five-year loan of $67,000. The interest rate is 9 percent per year, and the loan calls for equal annual payments. (Do not round intermediate calculations and round your final answer to 2 decimal places. (e.g., 32.16))

How much interest is paid in the third year? (Do not round intermediate calculations and round your final answer to 2 decimal places. (e.g., 32.16))

The interest rate is 9 percent per year, and the loan calls for equal annual payments. How much total interest is paid over the life of the loan? (Do not round intermediate calculations and round your final answer to 2 decimal places. (e.g., 32.16))

Prepare an amortization schedule for a five-year loan of $67,000. The interest rate is 9 percent per year, and the loan calls for equal annual payments. (Do not round intermediate calculations and round your final answer to 2 decimal places. (e.g., 32.16))

Explanation / Answer

Year

Beginning
Balance

Total
Payment

Interest
Payment

Principal
Payment

Ending
Balance

1

$

$

$

$

$

2

3

4

5



Interest Paid in 3rd year = $3924.18

Total Interest Paid = $19125.96


Year

Beginning
Balance

Total
Payment

Interest
Payment

Principal
Payment

Ending
Balance

1

$

$

$

$

$

2

3

4

5