Question
I need excel solution. I have my own solution, but I want to know if there is other ways or if my solution is correct.
I need excel solution. I have my own solution, but I want to know if there is other ways or if my solution is correct. If you can use excel function, that would be good as well.
1. A $100,000 loan with level payments made at the end of each year for 30-years. Assume an annual effective interest rate on the loan of 5% and that the loan is repaid with the amortization method.
2. A $100,000 loan with level payments made at the end of each year for 30-years. Assume an annual effective interest rate on the loan of 5% and that the loan is repaid with the sinking fund method. Assume the sinking fund earns an annual effective rate of 5%.
3. A $100,000 loan with level payments made at the end of each year for 30-years. Assume an annual effective interest rate on the loan of 5% and that the loan is repaid with the sinking fund method. Assume the sinking fund earns an annual effective rate of 10%.
the shedules requires to have followings:
a) Amortization method | ||||
Period | Payment Amount | Interest Paid | Principal Paid | Outstanding Loan Balance |
B and C. | |||||
Period | Interest Paid | Sinking Fund Deposit | Total payment | Sinking Fund Balance | Net Loan Amount |
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