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a. Complete an amortization schedule for a $38,000 loan to be repaid in equal installments at the end of each of the next three years.
a. Complete an amortization schedule for a $38,000 loan to be repaid in equal installments at the end of each of the next three years. The interest rate is 8% compounded annually. Round all answers to the nearest cent. Year 1 2 3 Year 1: Year 2: $ Year 3: $ $ Beginning Balance % Interest % % $ % $ $ Payment I % Principal % b. What percentage of the payment represents interest and what percentage represents principal for each of the three years? Round all answers to two decimal places. % % Interest $ $ Numeric field c. Why do these percentages change over time? $ $ $ Repayment of Principal $ $ $ Ending Balance
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