22. Problem 5.22 (Loan Amortization) eBook Jan sold her house on December 31 and took a $15,000 mortgage as part of the payment. The 10-year mortgage has a 7% nominal interest rate, but it calls for semiannual payments beginning next June 30. Next year lan must report on schedule of her IRS Form 1040 the amount of interest that was induded in the two payments she received during the year, a. What is the dollar amount of each payment lan receives? Round your answer to the nearest cent b. How much interest was induded in the first payment? Round your answer to the nearest Cent. How much repayment of principal was included? Do not round intermediate calculations. Round your answer to the nearest cant. How do these values change for the second payment 1. The portion of the payment that is applied to interest dedines, while the portion of the payment that is applied to principal increases II. The portion of the payment that is applied to interest increases, while the portion of the payment that is plied to principal decreases 111. The portion of the payment that is applied to interest and the portion of the payment that is applied to principalemana the same throughout the life of the loan. IV. The portion of the payment that is applied to interest declines, while the portion of the payment that is applied to principal also declines V. The portion of the payment that is apolled to interest increases while the portion of the payment that applied to principal increases c. How much interest mustjan report on schedules for the first year? Do not round intermediate calaton Round your ser to the nearest cent NO" TOSHIBA 1. The portion of the payment that is applied to interest declines, while the portion of the payment that is applied to principal increases II. The portion of the payment that is applied to interest increases, while the portion of the payment that is applied to pripal decreases m. The portion of the payment that is applied to interest and the portion of the payment that is applied to principal remains the same throughout the Wfe of the loan. TV. The portion of the payment that is applied to interest dedines, while the portion of the payment that is applied to principal also declines. V. The portion of the payment that is applied to interest increases, while the portion of the payment that is applied to principal also increases C. How much interest must Jan report on Schedule for the first year? Do not round intermediate calculations. Round your answer to the nearest cent. Will her interest income be the same next year? d. If the payments are constant, why does the amount of interest income change over time? 1. As the loan is amortized (do), the beginning balans, hence the rest chances and the payment of principal e s 11. As the loan is amortized (paid off), the beginning balance, hence the interest charge declines and the rement of increases III. As the loan is amortized (paid off), the beginning balance, hence the interest charge, delines and the moment of principal declines, IV. As the loan is amortized (paid off), the beginning balance, hence the interest charge increases and the repayment of principal declines V. As the loan is amortised Coado), the beginning balance deines, but the interest charge and the moment of paremain the same X N] 0 TOSHIBA