All answers must be entered as a formula in excel

Prepare an amortization schedule for a five-year loan of $67,500. The interest rate is 7 percent per year, and the loan calls for equal annual payments. How much total interest is paid over the life of the loan?

Loan amount $67,500

Interest rate 7%

Loan term 5

Complete the following analysis. Do not hard code values in your calculations. All answers should be positive.

Loan payment

Year Beginning balance Total payment Interest paid Principal paid Ending balance

1

2

3

4

5

Total interest paid