skip to Main Content
The smarter way
to do assignments.

Please note that this is just a preview of a school assignment posted on our website by one of our clients. If you need assistance with this question too, please click on the Order button at the bottom of the page to get started.

You borrow $10,000 at 14 percent compound annual interest for four years. The loan is repayable in four equal annual installments payable at the end of each year.a. What is the annual payment that will completely amortize the loan over four years? (You may wish to round to the nearest dollar.)b. Of each equal payment, what is the amount of interest? The amount of loan principal?
Solution: a) PV = A*(1-(1+i)^-n)/i 10000 = A*(1-(1+.14)^-4)/.14 A = 3432.05 OR = 3432 b) Amortization schedule: Year Loan balance Interest Installment Principle repaid 1 10,000.00…

0 3432.05 2,032.05 2 7,967.95 1,115.51 3432.05 2,316.54 3 5,651.41 791.20 3432.05 2,640.85 4 3,010.56 421.48 3432.05 3,010.57


Clicking on this button will take you to our custom assignment page. Here you can fill out all the additional details for this particular paper (grading rubric, academic style, number of sources etc), after which your paper will get assigned to a course-specific writer. If you have any issues/concerns, please don’t hesitate to contact our live support team or email us right away.

How It Works        |        About Us       |       Contact Us

© 2018 | Intelli Essays Homework Service®