Given the following information:Interest Rate (yearly): 3.5%Mortgage: $250,000Term (in months): 360Start Date:...Given the following...

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Accounting

Given the following information:
Interest Rate (yearly): 3.5%
Mortgage: $250,000
Term (in months): 360
Start Date: October 1, 2019
Yearly Bonus: $10,000
Formulas to incorporate:
PMT
EDATE
SUM
Other Notes:
Do amortization monthly.
Note that the interest rate is yearly and that your amortizationtable is monthly.
Anchoring cells will make it faster to develop yourspreadsheet.
You’ll want to set up your spreadsheet to have the followingcolumns: Starting Balance, Interest Accrued, Payment, Principal,Ending Balance, Cumulative Interest, Cumulative Principal.
Case:
What is the minimum payment each month?
Scenarios (complete each scenario on a separate tab and labeleach tab appropriately):
Pay the minimum required.
Pay an extra $250/month. When will you have the loan paid offby?
Pay an extra $250/month and make a larger payment (equal to 50%of your year end bonus) each December. When will you have the loanpaid off by?

Answer & Explanation Solved by verified expert

4.2 Ratings (841 Votes)

a Interest Rate yearly 350 Mortgage 250000 Term in months 360 Start Date 01102019 Yearly Bonus 10000 EDATELast Payment Date1 start balance 3512 PMT351236025000000 Paymentinterest accrued Start balancePrincipal Month Date Starting Balance Interest Accrued Payment Principal Ending Balance Cumulative Interest Cumulative Principal 1 31102019 250000 72917 112261 39345 24960655 72917 39345 2 30112019 24960655 72802 112261 39459 See Answer

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Transcribed Image Text

In: AccountingGiven the following information:Interest Rate (yearly): 3.5%Mortgage: $250,000Term (in months): 360Start Date:...Given the following information:Interest Rate (yearly): 3.5%Mortgage: $250,000Term (in months): 360Start Date: October 1, 2019Yearly Bonus: $10,000Formulas to incorporate:PMTEDATESUMOther Notes:Do amortization monthly.Note that the interest rate is yearly and that your amortizationtable is monthly.Anchoring cells will make it faster to develop yourspreadsheet.You’ll want to set up your spreadsheet to have the followingcolumns: Starting Balance, Interest Accrued, Payment, Principal,Ending Balance, Cumulative Interest, Cumulative Principal.Case:What is the minimum payment each month?Scenarios (complete each scenario on a separate tab and labeleach tab appropriately):Pay the minimum required.Pay an extra $250/month. When will you have the loan paid offby?Pay an extra $250/month and make a larger payment (equal to 50%of your year end bonus) each December. When will you have the loanpaid off by?