Q $5$

The iterest rate on a $514,500$ loan is $8\mathrm{.}9\%$ compounded semiannually. Semiannual payments will pay off the loan in eight year.

$5$

Do not round intermediate calculations, Round the PMT and final answers to $2$ decimal places.$)$

a$.$ Calculate the interest component of Payment $11.$

Interest

b$.$ Colculate the principal component of Payment $5.$

Principal

c$.$ Colculate the interest paid in Year $7.$

Interest paid

d$.$ How much do Payments $5$ to $8$ inclusive reduce the principal balance?

Principal reduction