2.1Paying Back Student Loans I College students graduating from uS universities often have accumulated $20,000 in loans. In recent years, the interest rate on those loans has been about 6% APR, and a common repayment plan is to pay the money back over 10 years. Such a loan would have a monthly payment of $222.04. Create an amortization table similar to the one shown in Figure 2.96. Be sure to include the following formatting features in your worksheet: • Large, bold title • Borders around the cells that require data entry (cells D3, D4, D6, and D7) in Figure 2.96 F 1 Loan Amortization Table Amount Borrowed: $ 20,000.00 APR: 4 6.0% Periodic Interest Rate: 0.5% 5 Term: 10 years Payments/Year: 12 8 Payments: 120 Payment Amount: $ 222.04 9 10 Principal Principal Interest Paid on Payment Before After Payment Principal 11 Payment $20,000.00 $ 100.00 $ $19,877.96 $ 99.39 $ Payment 122.04 $19,877.96 12 1 13 2 122.65 $19,755.31 14 3 $19,755.31 $ 98.78 $ 123.26 $19,632.04 $19,632.04 $ 98.16 $ $19,508.16 $ 97.54 $ 15 4 123.88 $19,508.16 16 5 124.50 $19,383.66 • Accounting format on all dollar amounts • Use Percentage format on the APR and periodic interest rate • For column headings o Text wrapping o Bold font o Centered headings o Heavy bottom border Use your amortization table to determine: a) Total amount paid on the loan. b) Amount paid on interest.
2.1Paying Back Student Loans I College students graduating from uS universities often have accumulated $20,000 in loans. In recent years, the interest rate on those loans has been about 6% APR, and a common repayment plan is to pay the money back over 10 years. Such a loan would have a monthly payment of $222.04. Create an amortization table similar to the one shown in Figure 2.96. Be sure to include the following formatting features in your worksheet: • Large, bold title • Borders around the cells that require data entry (cells D3, D4, D6, and D7) in Figure 2.96 F 1 Loan Amortization Table Amount Borrowed: $ 20,000.00 APR: 4 6.0% Periodic Interest Rate: 0.5% 5 Term: 10 years Payments/Year: 12 8 Payments: 120 Payment Amount: $ 222.04 9 10 Principal Principal Interest Paid on Payment Before After Payment Principal 11 Payment $20,000.00 $ 100.00 $ $19,877.96 $ 99.39 $ Payment 122.04 $19,877.96 12 1 13 2 122.65 $19,755.31 14 3 $19,755.31 $ 98.78 $ 123.26 $19,632.04 $19,632.04 $ 98.16 $ $19,508.16 $ 97.54 $ 15 4 123.88 $19,508.16 16 5 124.50 $19,383.66 • Accounting format on all dollar amounts • Use Percentage format on the APR and periodic interest rate • For column headings o Text wrapping o Bold font o Centered headings o Heavy bottom border Use your amortization table to determine: a) Total amount paid on the loan. b) Amount paid on interest.
Chapter19: Lease And Intermediate-term Financing
Section: Chapter Questions
Problem 14P
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Question
HELP ME THIS USING EXCEL'S RIBBON
PLS USE EXCEL!!!
INCLUDE FORMULA AS WELL
Transcribed Image Text:2.1Paying Back Student Loans I
College students graduating from uS universities often have accumulated
$20,000 in loans. In recent years, the interest rate on those loans has been
about 6% APR, and a common repayment plan is to pay the money back
over 10 years. Such a loan would have a monthly payment of $222.04.
Create an amortization table similar to the one shown in Figure
2.96. Be sure to include the following formatting features in your
worksheet:
• Large, bold title
• Borders around the cells that require data entry (cells D3, D4, D6, and
D7) in Figure 2.96
F
1 Loan Amortization Table
Amount Borrowed: $ 20,000.00
APR:
4
6.0%
Periodic Interest Rate:
0.5%
5
Term:
10 years
Payments/Year:
12
8
Payments:
120
Payment Amount: $ 222.04
9
10
Principal
Principal
Interest
Paid on
Payment
Before
After
Payment Principal
11
Payment
$20,000.00 $ 100.00 $
$19,877.96 $ 99.39 $
Payment
122.04 $19,877.96
12
1
13
2
122.65 $19,755.31
14
3
$19,755.31 $ 98.78 $
123.26 $19,632.04
$19,632.04 $ 98.16 $
$19,508.16 $ 97.54 $
15
4
123.88 $19,508.16
16
5
124.50 $19,383.66
• Accounting format on all dollar amounts
• Use Percentage format on the APR and periodic interest rate
• For column headings
o Text wrapping
o Bold font
o Centered headings
o Heavy bottom border
Use your amortization table to determine:
a) Total amount paid on the loan.
b) Amount paid on interest.
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