You have been asked to prepare an amortisation schedule for a three-year loan of $110,000 with monthly repayments. The interest rate is 7.25% per year, to be compounded monthly, and the loan calls for equal monthly payments. What is the periodic monthly payment? How much interest is paid in the first month of payment? What is the principal repayment for the first month of payment?

chose 1 option...

(A)- Monthly payment = $37,110.61; first month of interest = $664.58; first month of principal repayment = $36,446.03.

(B) -None of the answer provided is correct.

(C) - Monthly payment = $3,409.07; first month of interest = $664.58; first month of principal repayment = $2,744.48.

(D)- Monthly payment = $3,409.07; first month of interest = $20.47; first month of principal repayment = $3,388.60.

(E)- Monthly payment = $42,107.27; first month of interest = $7,975; first month of principal repayment = $34,132.27.