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Monthly Payments Are Required on a $45,000 Loan at 6

Question 77

Essay

Monthly payments are required on a $45,000 loan at 6.0% compounded monthly. The loan has an amortization period of 15 years.
a) Calculate the interest component of Payment 137.
b) Calculate the principal component of Payment 76.
c) Calculate the interest paid in Year 1.
d) Calculate the interest paid in Year 1

Correct Answer:

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a) $74.82;...

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