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Question 6 (10 marks) A loan of $10,000 is repaid by 10 annual payments (starting in one year) under the amortization method. The first payment
Question 6 (10 marks) A loan of $10,000 is repaid by 10 annual payments (starting in one year) under the amortization method. The first payment is of amount $500, the second payment is of amount $1,000 and the remaining 8 payments are of amount $1,977.53. The interest rate charged on the loan is i = 10%. Fill in the first 4 lines of the amortization table for this loan (i.e. t = 0, 1, 2, 3).
t | kt | it | PRt | OBt |
0 | ||||
1 | ||||
2 | ||||
3 |
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