TABLE 14.3 Schedule of payments Monthly payment number Outstanding balance due 1 $ 8,000.00 2 $ 7,620.00 3 $ 7,234.30 1 1/2 % Interest payment $120.00 (0.015 x $8,000.00) $114.30 (0.015 x $7,620.00) $108.51 (0.015 x $7,234.30) Amount of monthly payment $ 500.00 $ 500.00 $ 500.00 Reduction in balance due $380.00 ($500.00 - $120.00) $385.70 ($500.00 - $114.30) $391.49 ($500.00 - $108.51) Outstanding balance due $7,620.00 ($8,000.00 - $380.00) $7,234.30 ($7,620.00 - $385.70) $6,842.81 ($7,234.30 - $391.49)