Suppose you want to finance new machinery for your company. The equipment has a purchase...
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Suppose you want to finance new machinery for your company. The equipment has a purchase price of $41,375 at an interest rate of 6.5% over 8 years. Create an Amortization table and answer the following 6 questions. What will the size of your annual payment be? $7,432.58 $7,268.81 $6,381.31 $6,795.32
Followed from the Loan Amortization Table:
How much payment will be added to the principal in year three?
$4,657.06
$5,063.15
$2,138.25
$6,795.32
Followed from the Loan Amortization Table:
What is the outstanding balance at the end of year 4?
$23,051.63
$29,408.78
$23,279.39
$17,997.23
Followed from the Loan Amortization Table:
How much will be paid in interest in year 7?
$747.85
$978.87
$707.13
$804.16
Followed from the Loan Amortization Table:
How much interest in total would you pay at the end of the 8 year loan?
$12,689.38
$12,987.55
$11,876.93
$10,619.62
How much would you pain in interest in year three if the number of years for the loan was 10?
$2,277.83
$2,313.95
$2,205.66
$2,195.36
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