A $100,000 loan and a $50,000 loan both have the same interest rate and the same amortization period (10 years).
a) Will the monthly payment on the $100,000 loan be double the monthly payment on the $50,000 loan? Explain briefly.
b) Will the balance after five years on the $100,000 loan be double the balance on the $50,000 loan? Explain briefly.

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The Answer of A $100,000 loan and a $50,000 loan both have the same interest rate and the same amortization period (10 years).
a) Will the monthly payment on the $100,000 loan be double the monthly payment on the $50,000 loan? Explain briefly.
b) Will the balance after five years on the $100,000 loan be double the balance on the $50,000 loan? Explain briefly.

A $100,000 Loan and a $50,000 Loan Both Have the Same