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Question 2 (40 points) Fountain Corp will take a loan of 280,000.00 that is to be amortized by making payments at the end of quarter for 20 years. Interest on the debt is 12% compounded quarterly. Note: the number in brackets shows the points value for that blank. 1 - Calculate the amount of the semi-annual loan payments. Round to 2 decimal places 2 - Using the AMORT function, find the values for the blanks in the table below. Amount paid Interest paid Principal Paid Balance Payment # 0 1 per calculation 8,400.00 281.50 278,718.50 15 per calculation 8,255.71 2 274,764.41 27 per calculation 8,047.42 607.08 3 47 per calculation 4 1,096.45 251,738.38 FINAL 8 7 6 5 9 Total Interest Paid Total Cost of Loan 10 Start by calculating the payment amount required to pay off the loan END/BEG (1) P/Y (1) C/Y (1) N (2) 1/Y (1) PV (1) FV (1) PMT(4) 2 - Using the AMORT Function fill in the blanks from the amortization schedule shown above. 1 - Balance at the beginning of the loan (1) 2 - Principal paid as part of the 15th payment (2) 3 - Balance owing after the 27th payment (2) 4 - Interest paid as part of the 47th payment (2) 5- Balance owing after the final payment (1) 6 - Principal paid with the final payment (4) 7 - Interest paid with the final payment (4) 8 - Amount of final payment (4) 9. Total interest paid on the loan (4) 10- Total cost of the loan (4)

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