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Towline Corporation borrowed $75,000.00 at 4% compounded semi-annually for 11 years to buy a warehouse. Equal payments are made at the end of every 6
Towline Corporation borrowed $75,000.00 at 4% compounded semi-annually for 11 years to buy a warehouse. Equal payments are made at the end of every 6 months. (a) Determine the size of the semi-annual payments. (b) Compute the interest included in payment 10. (C) Determine the principal repaid in payment period 6. (d) Construct a partial amortization schedule showing details of the first three payments, the last three payments, and totals. (a) The size of the semi-annual payment is $ (Round the final answer to the nearest cent as needed. Round all intermediate values to six decimal places as needed.) (b) The interest included in payment 10 is $0 (Round the final answer to the nearest cent as needed. Round all intermediate values to six decimal places as needed.) (C) The principal repaid in payment period 6 is $ (Round the final answer to the nearest cent as needed. Round all intermediate values to six decimal places as needed.) (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 0 Interest Paid Principal Repaid Outstanding Principal Balance $75,000.00 1 $ $ $ $ 2 $ SS 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 20 Interest Paid Outstanding Principal Balance . Principal Repaid $ $ 21 $ $I $ $ 22 $ $ $0 Total Paid = $( (Do not round until the final answer. Then round to the nearest cent as needed.) Interest Paid = $0 (Do not round until the final answer. Then round to the nearest cent as needed.)
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