ENGR ECON 4-129

ENGR ECON 4-129 - $42,710 $427 Plan 3*: Pay principal and...

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(1) (2) (3) = 1% x (2) (4) = (2) + (3) (5) (6) = (3) + (5) Month Plan 1: Pay interest due at the end of each month and principal at the end of fourth month. 1 $17,000 $170 $17,170 $0 $170 2 $17,000 $170 $17,170 $0 $170 3 $17,000 $170 $17,170 $0 $170 4 $17,000 $170 $17,170 $17,000 $17,170 Total $68,000 $680 Plan 2: Pay off the debt in four equal end-of-month installments (principal and interest). 1 $17,000 $170 $17,170 $4,187 $4,357 2 $12,813 $128 $12,941 $4,229 $4,357 3 $8,584 $86 $8,670 $4,271 $4,357 4 $4,313 $43 $4,356 $4,314 $4,357 Total
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Unformatted text preview: $42,710 $427 Plan 3*: Pay principal and interest in one payment at end of fourth month. 1 $17,000 $170 $17,170 $0 $0 2 $17,170 $172 $17,342 $0 $0 3 $17,342 $173 $17,515 $0 $0 4 $17,515 $175 $17,690 $17,000 $17,690 Total $69,027 $690 Amount Owed at Beginning of Month Interest Accrued for Month Total Money Owed at End of Month Principal Payment Total End of Month Payment (Cash Flow) *Here column 6 column 3 +column 5...
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