On January 2001, a company takes a $5,000,000 Loan to purchase an apartment complex The loan is to be financed over 5 years at an interest rate of 4 payable every six months Using the table below TIME Jan 01 Period Payment Interest Principal Balance $ 5,000,000 00 $ 100,000 00 $ 456,642 63 Jun 01 Dec 01 Jun 02 Dec 02 Jun 03 $ 556,642 63 $ 556,642 63 $ 556,642 63 $ 556,642 63 $ 556,642 63 $ 556,642 63 $ 556,642 63 $ 556,642 63 $ 556,642 63 $ 556,642 63 Dec 03 Jun 04 Dec 04 Jun 05 8 Dec 05 What is the amount interest paid on June 2004 for the loan a $42,338 86 b $556,642 c $32,103 79 Od None of the above On January 2001, a company takes a $5,000,000 Loan to purchase an apartment complex The loan is to be financed over 5 years at an interest rate of 4 payable every six months Using the table below Period TIME Jan 01 Jun 01 $ 5,000,000 00 1 $ 456,642 63 Dec 01 Jun 02 Dec 02 4 Jun 03 $ 556,642 63 $ 100,000 00 $ 556,642 63 $ 556,642 63 $ 556,642 63 $ 556,642 63 $ 556,642 63 $ 556,642 63 $ 556,642 63 $ 556,642 63 $ 556,642 63 Dec 03 Jun 04 Dec 04 Jun 05 Dec 05 10 What is the Principal Payment on the loan as of December 30, 2004 O a $1,080,650 44 b $42,388 86 O c $1,605,189 28 Od $524,538 84 On January 2001, a company takes a $5,000,000 Loan to purchase an apartment complex The loan is to be financed over 5 years at an interest rate of 4 payable every six months Using the table below TIME Period Jan 01 $ 5,000,000 00 $ 100,000 00 $ 456,642 63 Jun 01 Dec 01 Jun 02 Dec 02 Jun 03 $ 556,642 63 $ 556,642 63 $ 556,642 63 $ 556,642 63 $ 556,642 63 $ 556,642 63 $ 556,642 63 $ 556,642 63 $ 556,642 63 $ 556,642 63 Dec 03 Jun 04 7 Dec 04 Jun 05 Dec 05 10 What is the cumulative amount of interest paid through the life of the loan a $5,000,109 14 b $10,912 42 c $556,316 90 O d $556,642 63 On January 2001, a company takes a $7,000,000 Loan to purchase an apartment complex The loan is to be financed over 8 years at an interest rate of 7 5 payable every quarter What is the periodic payment on the loan 075 The periodic payment can be calculated as Oa $7 000 000 1 (1 01875 32) x PMT The payment is $338,301 72 O b None of the above is the correct periodic payment amount The periodic payment can be calculated as Oc $7,000,000 (1 (1 01875 8), PMT 01875 The periodic payment is $ 950,427 56 The periodic payment can be calculated as Od $7,000,000 (1 (1 01875 32), ) X PMT 01875 The periodic payment is $ 292,883 19

Question

On January 2001, a company takes a $5,000,000 Loan to purchase an apartment complex  The loan is to be financed over 5 years at an interest rate of 4  payable every six months  Using the table below  TIME Jan 01 Period Payment Interest Principal Balance $ 5,000,000 00 $ 100,000 00 $ 456,642 63 Jun 01 Dec 01 Jun 02 Dec 02 Jun 03 $ 556,642 63 $ 556,642 63 $ 556,642 63 $ 556,642 63 $ 556,642 63 $ 556,642 63 $ 556,642 63 $ 556,642 63 $ 556,642 63 $ 556,642 63 Dec 03 Jun 04 Dec 04 Jun 05 8 Dec 05 What is the amount interest paid on June 2004 for the loan  a  $42,338 86 b  $556,642 c  $32,103 79 Od  None of the above On January 2001, a company takes a $5,000,000 Loan to purchase an apartment complex  The loan is to be financed over 5 years at an interest rate of 4  payable every six months  Using the table below  Period TIME Jan 01 Jun 01 $ 5,000,000 00 1 $ 456,642 63 Dec 01 Jun 02 Dec 02 4 Jun 03 $ 556,642 63   $ 100,000 00 $ 556,642 63 $ 556,642 63 $ 556,642 63 $ 556,642 63 $ 556,642 63 $ 556,642 63 $ 556,642 63 $ 556,642 63 $ 556,642 63 Dec 03 Jun 04 Dec 04 Jun 05 Dec 05 10 What is the Principal Payment on the loan as of December 30, 2004  O a  $1,080,650 44 b  $42,388 86 O c  $1,605,189 28 Od  $524,538 84 On January 2001, a company takes a $5,000,000 Loan to purchase an apartment complex  The loan is to be financed over 5 years at an interest rate of 4  payable every six months  Using the table below  TIME Period Jan 01 $ 5,000,000 00 $ 100,000 00 $ 456,642 63 Jun 01 Dec 01 Jun 02 Dec 02 Jun 03 $ 556,642 63 $ 556,642 63 $ 556,642 63 $ 556,642 63 $ 556,642 63 $ 556,642 63 $ 556,642 63 $ 556,642 63 $ 556,642 63 $ 556,642 63 Dec 03 Jun 04 7 Dec 04 Jun 05 Dec 05 10 What is the cumulative amount of interest paid through the life of the loan  a  $5,000,109 14 b  $10,912 42 c  $556,316 90 O d  $556,642 63 On January 2001, a company takes a $7,000,000 Loan to purchase an apartment complex  The loan is to be financed over 8 years at an interest rate of 7 5  payable every quarter  What is the periodic payment on the loan   075 The periodic payment can be calculated as Oa  $7 000 000   1   (1 01875  32)    x PMT The payment is $338,301 72 O b  None of the above is the correct periodic payment amount  The periodic payment can be calculated as Oc  $7,000,000  (1 (1 01875 8), PMT  01875 The periodic payment is $ 950,427 56 The periodic payment can be calculated as Od $7,000,000  (1 (1 01875 32),  ) X PMT  01875 The periodic payment is $ 292,883 19

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On January 2001, a company takes a $5,000,000 Loan to purchase an apartment complex. The loan is to be financed over 5 years at an

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