157_633912218965049009_Doozer_Amortization__Problem_113

157_633912218965049009_Doozer_Amortization__Problem_113 -...

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Doozer Problem 11-2 A) Annual Interest = 1,000,000.00 x 10% = 100,000.00 Annuity 100,000 PMT 1,000,000 FV 12 I/Y 4 N CPT PV = 939,253.01 Year Payments Interest 12% Principal Ending Principal Balance BB 939,253.01 1 100,000.00 112,710.36 (12,710.36) 951,963.37 2 100,000.00 114,235.60 (14,235.60) 966,198.98 3 100,000.00 115,943.88 (15,943.88) 982,142.85 4 1,100,000.00 117,857.14 982,142.86 (0.00) B) Annual Interest = 1,000,000.00 x 10% = 100,000.00 Annuity 100,000 PMT . 1,000,000 FV 8 I/Y 4 N CPT PV = 1,066,242.54 Year Payments Interest 8% Principal Ending Principal Balance BB 1,066,242.54 1 100,000.00 85,299.40 14,700.60 1,051,541.94 2 100,000.00 84,123.36 15,876.64 1,035,665.30 3 100,000.00 82,853.22 17,146.78 1,018,518.52 4 1,100,000.00 81,481.48 1,018,518.52 0.00 C) Equal Payments 1,000,000 PV Present Value Calculation
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Unformatted text preview: 10 I/Y 315,470.80 PMT 4 N 12 I/Y CPT PMT = 315,470.80 4 N CPT PV = 958,195.03 Year Payments Interest 12% Principal Ending Principal Balance BB 958,195.03 1 315,470.80 114,983.40 200,487.40 757,707.63 2 315,470.80 90,924.92 224,545.88 533,161.75 3 315,470.80 63,979.41 251,491.39 281,670.36 4 315,470.80 33,800.44 281,670.36 0.00 D) Equal Payments 1,000,000 PV Present Value Calculation 10 I/Y 315,470.80 PMT 4 N 8% I/Y CPT PMT = 315,470.80 4 N CPT PV 1,044,879.30 Year Payments Interest 8% Principal Ending Principal Balance BB 1,044,879.30 1 315,470.80 83,590.34 231,880.46 812,998.84 2 315,470.80 65,039.91 250,430.89 562,567.95 3 315,470.80 45,005.44 270,465.36 292,102.59 4 315,470.80 23,368.21 292,102.59 (0.01)...
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