Answered step by step
Verified Expert Solution
Link Copied!

Question

1 Approved Answer

General Computers Inc. purchased a computer server for $70,000. It paid 40.00% of the value as a down payment and received a loan for the

General Computers Inc. purchased a computer server for $70,000. It paid 40.00% of the value as a down payment and received a loan for the balance at 7.50% compounded semi-annually. It made payments of $2,150.55 at the end of every quarter to settle the loan.

a. How many payments are required to settle the loan?

payments

Round up to the next payment

b. Fill in the partial amortization schedule for the loan, rounding your answers to two decimal places.

Payment Number

Payment

Interest Portion

Principal Portion

Principal Balance

0

$42,000.00

1

? ? ? ?

2

? ? ? ?

: :

: :

: :

: :

: :

: :

: :

: :

: :

: :

? ? ? ?
? ? ? ?

0.00

Total

? ? ?

Step by Step Solution

There are 3 Steps involved in it

Step: 1

blur-text-image

Get Instant Access to Expert-Tailored Solutions

See step-by-step solutions with expert insights and AI powered tools for academic success

Step: 2

blur-text-image_2

Step: 3

blur-text-image_3

Ace Your Homework with AI

Get the answers you need in no time with our AI-driven, step-by-step assistance

Get Started

Recommended Textbook for

The Budget Building Book For Nonprofits

Authors: Murray Dropkin, Jim Halpin, Bill La Touche

2nd Edition

0787996033, 978-0787996031

More Books

Students also viewed these Finance questions