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Katec Corporation borrowed $66,000.00 at 4% compounded quarterly for 9 years to buy a warehouse. Equal payments are made at the end of every 3
Katec Corporation borrowed $66,000.00 at 4% compounded quarterly for 9 years to buy a warehouse. Equal payments are made at the end of every 3 months. (a) Determine the size of the quarterly payments. (b) Compute the interest included in payment 16. (c) Determine the principal repaid in payment period 15. (d) Construct a partial amortization schedule showing details of the first three payments, the last three payments, and totals. (d) Complete the table below for the first three payments in the schedule. (Do not round until the final answer. Then round to the nearest cent as needed.) Payment Number Amount Paid Interest Paid 0 Principal Repaid Outstanding Principal Balance $66,000.00 $ 1 $ $ 2 $ $ $ 3 Complete the table for the last three payments. (Do not round until the final answer. Then round to the nearest cent as needed.) Payment Number Amount Paid Interest Paid Principal Repaid Outstanding Principal Balance 34 $ $ $ 35 36 $ S $0 Total Paid = $ (Do not round until the final answer. Then round to the nearest cent as needed.) Interest Paid = $ (Do not round until the final answer. Then round to the nearest cent as needed.) A mortgage balance of $29,000 is to be repaid over a 12-year term by equal monthly payments at 6.6% compounded semi-annually. At the request of the mortgagor, the monthly payments were set at $425. (a) How many payments will the mortgagor have to make? (b) What is the size of the last payment? (c) Determine the difference between the total amount required to amortize the mortgage with the contractual monthly payments rounded to the nearest cent and the total actual amount paid. (a) The mortgagor will have to make payments. (Round up to the nearest whole number.) (b) The size of the last payment will be $| (Round the final answer to the nearest cent as needed. Round all intermediate values to six decimal places as needed.) (c) The difference is $ (Round the final answer to the nearest cent as needed. Round all intermediate values to six decimal places as needed.)
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