Stinson Corporation borrowed $85,000 at 8% compounded quarterly to buy a warehouse. Monthly payments of $1200 were made over the term of the loan. 1. Construct a partial amortization schedule showing the last 2 payments. 2. Determine the total amount paid to settle the loan. Show work, not just the answer. 3. Determine the total principal repaid. 4. Determine the total amount of interest paid. Show work, not just the answer.
Stinson Corporation borrowed $85,000 at 8% compounded quarterly to buy a warehouse. Monthly payments of $1200 were made over the term of the loan. 1. Construct a partial amortization schedule showing the last 2 payments. 2. Determine the total amount paid to settle the loan. Show work, not just the answer. 3. Determine the total principal repaid. 4. Determine the total amount of interest paid. Show work, not just the answer.
Chapter19: Lease And Intermediate-term Financing
Section: Chapter Questions
Problem 17P
Related questions
Question
Stinson Corporation borrowed $85,000 at 8% compounded quarterly to buy a
warehouse. Monthly payments of $1200 were made over the term of the
loan.
1. Construct a partial amortization schedule showing the last 2 payments.
2. Determine the total amount paid to settle the loan. Show work, not
just the answer.
3. Determine the total principal repaid.
4. Determine the total amount of interest paid. Show work, not just the
answer.
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