You just took a $20,000, Eight-year loan. Payments at the end of each month are flat (equal

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You just took a $20,000, Eight-year loan. Payments at the end of each month are flat (equal in every month) at an annual interest rate of 8 percent.

1. Calculate the monthly payment.

2. Provide the appropriate loan table, showing the breakdown in each month between principal repayment and interest.

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Financial Modeling

ISBN: 9780262027281

4th Edition

Authors: Simon Benninga

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Question Posted: Jan 08, 2013 05:49 AM

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You just took a $20,000, Eight-year loan. Payments at the end of each month are flat (equal

Question:

Step by Step Answer:

1 Computation of monthly Payment Given information Loan Amount 20000 Interest Rate 008 No of year 8 Monthly Payment PV 20000 I 067 n 96 PVA 28273 Henc...View the full answer

Financial Modeling

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