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3. [6 Points] When you purchased your car, you took out a four-year annual payment loan of $17,325.53 with an annual interest rate of 6%.
- 3. [6 Points] When you purchased your car, you took out a four-year annual payment loan of $17,325.53 with an annual interest rate of 6%. The annual payment on the car is $5000 at the end of each year. This means that you will pay $20,000 in total over the course of the four years. Fill the remaining cells in the table showing the amortization schedule of this loan. Show how you calculated the numbers that you put in the table.
Year | Interest Paid | Principal Paid | Total Payment | Remaining Principal |
0 | $17,325.53 | |||
1 | $1,039.53 | $5,000.00 | ||
2 | $4,198.10 | $5,000.00 | $9,166.97 | |
3 | $5,000.00 | |||
4 | $283.02 | $4,716.98 | $5,000.00 | $0.00 |
Total | $2,674.47 | $17,325.53 | $20,000.00 |
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