5.4.1 JM21 Amortizations (Manually) VFAZ
5.4.1 JM21 Amortizations (Manually) VFAZ
5.4.1 JM21 Amortizations (Manually) VFAZ
1) A loan of $9,500 needs to be paid off throughout six equal overdue monthly payments, at an annual
interest rate of 16% compounded monthly
a) What is the amount of each monthly payment?
1,658.05
b) Construct the corresponding amortization table
c) Out of the 3rd payment, what is the amount that goes towards interests
85.56
d) After the 3rd payment, how much does the person still owe?
4,844.33
2) A loan of $80,000 needs to be paid off throughout overdue and equal semiannual payments during 3
years, at an annual interest rate of 17% compounded semi annually
P= 80,000 i= 0.17/2 n=6
0.17
80,000( )
2
𝑅= = 17,568.57
0.17 −6
1 − (1 + )
2
a) What is the amount of each semiannual payment? 17,568.57
b) Construct the corresponding amortization table
#payment Initial Payment Interest Capital Final
balance (constant) Ib* i Pay - inte balance
Ib - cap
1 80,000 17,568.57 6800 10768.57 69231.43
2 69,231.43 17,568.57 5884.67 11683.89 57,547.54
3 57,560.54 17,568.57 4891.54 12677.03 44870.51
4 44884.62 17,568.57 3813.99 13754.57 31115.94
5 31115.94 17,568.57 2644.86 14932.71 16192.23
6 16192.23 17,568.57 1376.34 16192.23 0
3) A loan of $150,000 needs to be paid off throughout 4 equal monthly overdue payments, at an annual
interest rate of 6% compounded monthly
a) What is the amount of each payment? 37,969.92
b) Construct the corresponding amortization table
#payment Initial Payment Interest Capital Final
balance (constant) Ib* i Pay - inte balance
Ib - cap
1 150,000 37,969.92 750 37219.92 112780.08
2 112780.08 37,969.92 563.90 37406.02 75374.06
3 75374.06 37,969.92 376.87 37593.05 37781.01
4 37781.01 37,969.92 188.91 37781.01 0
4) A loan of $20,000 needs to be paid off throughout 5 fixed quarterly overdue payments, at an annual
interest rate of 10% compounded quarterly
a) What is the amount of each payment? 4304.94
b) Construct the corresponding amortization table