27. Study the amortization schedule and fill in the blanks. 28. A loan amounting to P100,000 is to be paid annually for 4 years with an interest rate of 10% per annum. The annual amortization is P31,547.08. Interest Principal Component Regular Payment R Period Component Outstandin g Balance of Payment of Payment 0 A 1 B 10,000 21,547.08 78,452.92 2 31,547.08 с D 54,751.13 3 31,547.08 5,475.11 26,071.97 28,679.16 4 31,547.08 2,867.92 28,679.16 E TOTALS
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Mortgages
A mortgage is a formal agreement in which a bank or other financial institution lends cash at interest in return for assuming the title to the debtor's property, on the condition that the obligation is paid in full.
Mortgage
The term "mortgage" is a type of loan that a borrower takes to maintain his house or any form of assets and he agrees to return the amount in a particular period of time to the lender usually in a series of regular equally monthly, quarterly, or half-yearly payments.
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- Assessment I. Construct an amortization table for a loan of PHP1000 to be paid in 4 annual payments at 10% annual effective interest rate. Complete the table below. Periodic Starting Balance Payment Principal Remaining Balance Period Interest 1. 1,000 100.00 784.53 2 784.53 315.47 237.02 315.47 54.75 286.79 4 286.79 315.47 0.00 3.H3. A loan of $18430 is to be repaid at 4% effective by payments of $1500 at the end of each year for as long as possible and an additional smaller payment X made one year after the last full payment. Calculate X. A 367.68 B 369.17 C 358.25 D 353.54 E 376.99 Please show proper step by step calculationConsider a loan of $8,000 charging interest at j12-6% with monthly payments of $321.50 Calculate the missing amounts in the amortization table. Place the value for A in the first answer box, B in the second and C in the third. PMT Interest Principall Balance 8,000.00 1321.50 40.00 281.50 7,718.50 2 321.50 A C
- Prepare a duration table under the following assumptions a. $100,000 fully amortizing loan b. Annual payments c. 10-year amortization d. 7% stated rate e. 9% yieldLesson 35 Supplementary Exercises 27. Study the amortization schedule and fill in the blanks. 28. A loan amounting to P100,000 is to be paid annually for 4 years with an interest rate of 10% per annum. The annual amortization is P31,547.08. Regular Рayment R Interest Component of Payment Principal Component of Payment Outstandin Period g Balance A 1 B 10,000 21,547.08 78,452.92 31,547.08 D 54,751.13 3 31,547.08 5,475.11 26,071.97 28,679.16 4 31,547.08 2,867.92 28,679.16 E TOTALS A. How much is the amount of the loan? B. How much is the payment on the first period? C For the second payment, how miuch gnes to pay the inferest? D. For the second payment, how much goes to pay the principal? E. How much is the outstanding balance after the 4" payment? 2.A loan should be repaid over 8 years with 32 quarterly payments of $362.19 at j4 = 8%. Under the amortization method, what is the principal portion of the 3rd payment? A. $162.24 B. $158.24 C. $203.95 D. $199.95
- 2 A debt of P75,000 is to be amortized by giving payment of P15,000 at the end of each quarter at 3% simple interest every quarter. Construct the amortization schedule. а. Amount Payment Number of Payment Payment on Interest Payment on Principal Balance b. How much of the third payment is allotted for the interest? c. How much of the third payment is allotted for the principal? d. How much is the balance after the third payment? How many payments are needed to settle the debt? е. f. How much is the concluding payment? g. Find the total interest to be paid.Find the future value of this loan: $20,862 at 11.4% for 14 months. Group of answer choices A. $23636.65 B. $25657.00 C. $263536.51 D. $40,000.00Exercise 2: Directions: Analyze the given amortization procedures in the table below then fill in cach blank using the guide questions below the table. Problem: A salary loan amounting to P15,000 is to be paid annually for 4 years with an interest rate of 6% compounded annually. The annual amortization is P P4,328.87. PRINCIPAL Outstanding Balance Interest Regular Payment (R) Period Component of Component of Рауment Раyment P11,571.13 7,936.53 E 1. 2. 3. P4,328.87 P4,328.87 P4,328.87 P900 P694.27 P3,428.87 3,852.68 4,083.84 4 245.031 F Total G. H. Guide Questions: A. How much is the amount of the loan? (Outstanding balance at time 0) B. How much is the first regular annual payment? C. For the second payment, how much goes to pay the principal? D. For the third payment, how much goes to pay the interest? E. How much is the outstanding balance after the 3rd payment? F. How much should be the outstanding balance after the 4th or last payment? G. How much is the total amount of regular…
- Develop an amortization schedule for the loan described. (Round your answers to the nearest cent.) $35,000 for 1 year at 12% compounded quarterly Period Payment Interest Balance Reduction Unpaid Balance $35,000 %24 24 24 $0.00 %24 %24 %24 %24 %24 %24 %24 %24 %24 %24 %24 %24 %24 2. 3. 4-Amortization schedule Loan amount to be repaid (PV) $25,000.00 Interest rate (r) 11.00% Length of loan (in years) 3 a. Setting up amortization table Formula Calculation of loan payment #N/A Year Beginning Balance Payment Interest Repayment of Principal Remaining Balance 1 2 3 b. Calculating % of Payment Representing Interest and Principal for Each Year Year Payment % Representing Interest Payment % Representing Principal Check: Total = 100% 1 2 3 Formulas Year Beginning Balance Payment Interest Repayment of Principal Remaining Balance 1 #N/A #N/A #N/A #N/A #N/A 2 #N/A #N/A #N/A #N/A #N/A 3 #N/A #N/A #N/A #N/A #N/A b. Calculating % of Payment Representing Interest and Principal for Each Year Year Payment %…Exercise 2: Directions: Analyze the given amortization procedures in the table below then fill in cach blank using the guide questions below the table. Problem: A salary loan amounting to P15,000 is to be paid annually for 4 years with an interest rate of 6% compounded annually. The annual amortization is P P4,328.87. PRINCIPAL Outstanding Balance Period Regular Interest Payment (R) Component of Component of Раyment A. Раyment PI1,571.13 7,936.53 P3,428.87 C 3,852.68 4,083.84 P900 P694.27 P4,328.87 P4,328.87 P4,328.87 E 4. 245.031 Total G H. Guide Questions: D. For the third payment, how much goes to pay the interest? E. How much is the outstanding balance after the 3rd payment? F. How much should be the outstanding balance after the 4th or last payment? G. How much is the total amount of regular payment for 4 years? H. How much is the total interest paid for 4 years? I. How much is the total payment for the principal for 4 years? 1123-