AutoSave OFF AOC A SLA 10 gk Fall 21 PV,LoanAm Bonds Home Insert Draw Page Layout Formulas Data Review View Tell me Share Comments Calibrl (Body v 12 ~ Al A a Wras Text General X LE v AYO AY Insert y Delete Format v 0 Analyze Data Paste B1 B 1 - v AY Merge & Center $, % ) Conditional Format Cell Formatting as Table Styles Sort Filter v Find & Select Sensitvity y E4 x fx M N O P 0 R S T U V Y 2 MA A D C D E H 1 K 1 You would like to buy a new car and will need to borrow $18,000 to do so. Your loan will be repaid monthly over 5 years at a 7% annual interest rate. Calculate your 2 monthly payment 3 IN Nlperiod of time translate to monthly Students may follow tutorin OR use IPMT, PPMT functions to create table 5 Interest translate to monthly If use IPMT, PPMT then the column for Monthly Payment must be the sum GPV Present Value 2 7 rv Future Value) 8 PMT Arnuity determine payment 9 10 Prepare the loan amortization schedule. Month Interest Principal Period Principal 12 Payment Expense Payment Balance 12 13 14 15 16 17 18 19 20 21 22 23 24 25 26 27 28 29 30 3: 32 33 34 35 36 37 30 40 : 42 42 TVM Calcs Loan Amortization Bund Valuation + + Ready EP - + 90% AutoSave OFF AO" A SLA 10 gk Fall 21 PV,LoanAm Bonds Home Insert Draw Page Layout Formulas Data Review View Tell me Share Comments Calibri (Body v 12 ~ Al A a Wraa Text General X LG v Insert y Delete 0 Analyze Data Paste B 1 - A - Merge & Center $, % ) Conditional Format Cell Formatting as Table Styles Sensitvity Format v Find & Select Sort Filter y F20 X 1 L M N 0 P R S A C D E F G H 1 Richmond Company issues bonds with a face value of $5,000,000 that pay 8% interest semiannually and mature 2 in 10 years. Calculate the price of the bond if the market interest rate is 8%. 3 4 Niperiod of timell translate to semi-annual 5 Interest! translate to semi-annual 6 PV Present Value 7 FV Future Value) 8 PMT (Annuity) semiannual interest payment made 9 10 11 Calculate the price of the bond if the market interest rate is 6%. 12 13 Niperiod of timell 14 interest) 15 PV Present Value