core chapter 04 excel master 4th edition student

8/10/2019 Core Chapter 04 Excel Master 4th Edition Student

1/150

Ross, Westerfield, Jaffe, and Jordan's Excel Master

Corporate Finance: Core Principles and Applications, 4th edition

by Brad Jordan and Joe Smolira

Version 4.0

Chapter 4In these spreadsheets, you will learn how to use the follow

The following conventions are used in these spreadsheets:

FV

PV

Two-way data tables

RATE

NPER

FVSCHEDULE

NPV

EAR

APR

Exponential function

PV of an annuity

FV of an annuity

PMT

Annuity interest rate

Annuity periodsNested function

Annuity due

Loan amortization worksheet


2/150

1) Given data in blue

2) Calculations in red

NOTE: Some functions used in these spreadsheets may require thatthe "Analysis ToolPak" or "Solver Add-In" be installed in Excel.

To install these, click on the Office button

then "Excel Options," "Add-Ins" and select

"Go." Check "Analysis ToolPak" and

"Solver Add-In," then click "OK."


3/150


4/150

ing Excel functions:


5/150


6/150


7/150


8/150


9/150


10/150


11/150


12/150

Chapter 4 - Section 2

The Multiperiod Case

Number of periods: 5

Initial investment: 500$

Interest rate per year: 7.0%

At the end of the investment, she will have: 701.28$

Initial investment: $500

Interest rate per year: 10%

Year

Beginning

Amount

Simple

Interest

Compound

Interest

Total

Interest

1 500.00$ 50.00$ -$ 50.00$

2 550.00 50.00 5.00 55.00

3 605.00 50.00 10.50 60.50

4 665.50 50.00 16.55 66.55

5 732.05 50.00 23.21 73.21Totals 250.00$ 55.26$ 305.26$

Year

Amount with

Simple

Interest

Total

Compound

Interest

So what does simple interest look like compared to compound interest? We can use Excel

simple interest and the total compound interest.

Excel contains numerous financial functions, many of which relate to the time value of mo

Suh-Pyng Ku has made the following deposit at the First National bank of Kent. How

As shown in the textbook, the future value of $1 is found by the equation FV = $1 (1 + r)

occurs with compound interest, not simple interest. To see the difference between simple

What is the value of the investment each year over the next 5 years? How much of the int

question with the following table:

Example 4.3: Interest on Interest


13/150

1 550.00$ -$

2 600.00$ 5.00$

3 650.00$ 15.50$

4 700.00$ 32.05$

5 750.00$ 55.26$

RWJ Excel Tip

Number of

Periods 0% 5% 10% 15%

0 1.000 1.000 1.000 1.000

1 1.000 1.050 1.100 1.150

2 1.000 1.103 1.210 1.323

3 1.000 1.158 1.331 1.521

4 1.000 1.216 1.464 1.749

Interest Rate

Now we can graph the contribution of compounding to the future value of our investmen

To see the effect of compound interest, change the interest rate and see how the compou

To insert this bar chart, we highlighted the columns we wanted in the graph, went to the I

get the border shadowing effect, we right-clicked on the graph, selected Format Plot Area

In the past, future value tables were very common. Future value tables calculated the futu

a future value table relatively quickly in Excel. By the way, we will show you a much more

$-$5.00

$15.50

$-

$100

$200

$300

$400

$500

$600

$700

$800

$900

1 2 3

FutureV

alue($)

Time (years)

Future Value, Simple Interest, and C


14/150

5 1.000 1.276 1.611 2.011

6 1.000 1.340 1.772 2.313

7 1.000 1.407 1.949 2.660

8 1.000 1.477 2.144 3.059

9 1.000 1.551 2.358 3.518

10 1.000 1.629 2.594 4.046

RWJ Excel Tip

Interest rate per year: 12%

There is a "bug" in Excel when graphing a table like the one above. If a table has text in th

graph. However, when the header row and column are numbers, Excel will not use the nu

in the legend and on the vertical axis, try the following: First, select just the data in the da

choose "Select Data." In the left hand column, highlight the data series you want to includ

allows you to choose the "Series Name." To include the number in the legend, simply sele

every column in the table. To include the column with the number of years as the horizonthe array that has the correct values for the horizontal axis.

Now that we have calculated the future value of a lump sum with the equation, we will us

investment opportunity:

An important fact about compound interest is that it results in exponential growth. To see

like this:

$0

$1

$2

$3

$4

$5

$6

$7

0 1 2 3 4 5

Futurevalueof$1

Time (years)

Future Value of $1 for Differ


15/150

Number of years: 3

Initial investment: 400$

Future value: 561.97$

RWJ Excel Tip

Purchase price: 24$

Interest rate: 10%

Number of years: 387

Value today:

RWJ Excel Tip

How much will you have at the end of the investment. Using the FV function, we find that

To use the FV function, we entered the following:

The Rate is simply the interest rate, Nper is the number if periods, and Pv is the present v

detail later. Notice also that we put a negative sign in front of the present value. Excel wor

positive number we would have simply gotten a negative answer. Since we prefer our ans

Consider Peter Minuit's purchase of Manhattan Island from the American Indians. U

would that investment be worth today?

Example 4.6: How Much for That Island?

250,715,046,098,361,000.00$


16/150

Bernard Dumas will receive a lump sum payment in the future. What is the value of t

Future value: 10,000$


Interest rate: 8%

Present value: 7,938.32$

RWJ Excel Tip

To use the PV function, we entered the following:

Now that we have used the FV function, we will skip entering an equation to find the pres

syntax.

Two things about the above example. First, we did not want to change the column width f

display, we merged 3 cells by using the merge icon: In merging cells, you simply sel

that if you notice, the future value has all zeroes in the last three digits of the dollar amou

that while Excel is very precise, it only calculates to 15 significant digits. Although this gen

should consider if you are using very large or very small numbers.

If for some reason you do need more accurate calculations, www.precisioncalc.com has a

Present Value and Discounting

Example 4.7: Multiperiod Discounting


17/150

Future value: 1$


Interest rate: 9%

Present value: 0.8417$

RWJ Excel Tip

0.8417$ 0% 5% 10%

0 1.00000 1.00000 1.00000

1 1.00000 0.95238 0.90909

2 1.00000 0.90703 0.826453 1.00000 0.86384 0.75131

4 1.00000 0.82270 0.68301

5 1.00000 0.78353 0.62092

6 1.00000 0.74622 0.56447

7 1.00000 0.71068 0.51316

8 1.00000 0.67684 0.46651

9 1.00000 0.64461 0.42410

The Rate is simply the interest rate, Nper is the number of periods, and Fv is the future val

Notice also that we put a negative sign in front of the future value. Excel works like a calcu

number we would have simply gotten a negative answer. Since we prefer our answers to s

To set up a two-way data table, first create the rows and columns for the table. Next, in thcalculations in the cell. Next, select the cell with the equation you want to use in the data

enter the variables in your table that correspond to the row and column numbers you ent

Notice that Excel made our choices absolute references by default. Just hit OK and the dat

corner showing in this case, but remember we could hide this number by right-clicking, sel

semicolon.

Interest Rate

NumberofPeriod

s

Suppose we want to create a table with the present value factors for different interest ratup a basic PV problem, with $1 as the future value.


18/150

RWJ Excel Tip

Finding the Interest Rate

Present value: 38,610$Future value: 50,000$


Interest rate: 9.00%

RWJ Excel Tip

Example 4.8: Finding the Rate

To find the interest rate, we used the RATE function and entered the following:

A customer of Beatty Corp. wants to buy a tugboat today. Rather than paying immediately

charge to neither gain or lose on the sale?

Finding the interest rate necessary for a present value to reach a desired future value in a

We have the legend on the left hand side of the table running vertically. To do this, we me

Cells." Using the "Alignment" option, we moved the "Text" wheel to vertical.

Graphically, the present value factors look like this:

$-

$0.2000

$0.4000

$0.6000

$0.8000

$1.0000

$1.2000

1 2 3 4 5

Presentvalueof$1

Time (y

Present Value of $1 for Dif


19/150

Finding the Number of Periods

Present value: 2,300,000$

Future value: 10,000,000$

Interest rate: 5%

Number of periods: 30.12

RWJ Excel Tip

NPER is the number of periods, Pv is the present value, and Fv is the present value. We lef

also that we put a negative sign in front of the present value. Excel works like a calculator i

and the future value negative.

Excel also has a built-in function to calculate the number of periods necessary for a lump s

You are saving up to buy the Godot Company and have the following information. How lo

To find the number of periods, we used the NPER function and entered the following:


20/150

Future Value with Changing Interest Rates

Present value: 100$

Year Interest rate

1 8%

2 6%

3 10%

4 15%

5 11%

6 9%

Year

Value at

year end

1 108.00$

2 114.48

3 125.93

4 144.825 160.75

6 175.21

Future value: 175.21$

Rate is the interest rate, Pv is the present value, and Fv is the future value. We left the pa

put a negative sign in front of the present value. Excel works like a calculator in that it exp

value negative.

Suppose you are going to make a lump sum deposit today, and the interest rate you will rhave in 6 years?

One way to calculate the future value is to compound the value each year. In year 1, we w

calculate the future value in year 2 at the year 2 interest rate, and so on. Doing this, we fin

While this process is more repetitive than difficult, Excel has a function that will calculate

future value is:


21/150

RWJ Excel Tip

t Cash flow

0 (50,000)$

1 25,000

2 20,000

3 15,000

Return: 7%

NPV: $3,077.73

RWJ Excel Tip

To calculate the NPV of the project using the NPV function, we entered the following:

Net Present Value

Example 4.10: NPV

Finance.com has the following investment opportunity for a new high-speed computer. Sh

In this function, Principal is the beginning deposit and Schedule is an array that contains t

Net present value is the present value of all outflows, plus the present value of all inflows.

present value.

To use the FVSCHEDULE, we entered:


22/150

Interest rate: 12%

Salary

1 12,000,000$

2 12,000,000$

3 12,000,000$4 10,900,000$

5 10,900,000$

6 10,000,000$

7 9,000,000$

8 9,600,000$

9 9,000,000$

10 3,000,000$

11 3,000,000$

12 3,000,000$

Contract present value: $60,792,671.66

Notice one very important thing: We did not include the cash flow at time 0 in the NPV fu

did not truly create a function that calculated the NPV, but rather created a function that

cash flows, we use the NPV function to calculate the present value of the cash flows beyo

simply go to the NPV cell above.

We can use the NPV function to find the present value of any series of cash flows. For exa

text, we would do something like the following:


23/150

Ending

Amount

Amount

with

Simple

Interest

550.00$ 550.00$

605.00 600.00

665.50 650.00

732.05 700.00

805.26 750.00

to draw a graph for us. First we need to set up a table that shows the value with

ney. We will begin by using equations before moving to Excel's functions.

much will she have at the end of her savings period?

t. In Excel, the carat ( ^ ) raises a number to a power. Of course, compounding only

interest and compound interest, consider the following example:

erest is simple interest and how much is compound interest? We will answer this


24/150

20%

1.000

1.200

1.440

1.728

2.074

.

nd interest grows as the interest rate changes.

nsert tab, and then selected Column. We chose the 2-D Stacked Column option. To

and chose the Shadow option.

re interest factor for a variety of interest rates and time periods. We can construct

fficient method in the next section.

$32.05

$55.26

4 5

mpound Interest

Compound interest

Amount with simple interest


25/150

2.488

2.986

3.583

4.300

5.160

6.192

header row and column, Excel will automatically use the text in the legend of the

bers in the legend, but rather include them in the graph. To include the numbers

a and ignore the header row and column. Next, right click on the entire chart and

e a legend for (Series 1, Series 2, etc.,) then select "Edit." This brings up a box that

t the cell that has the header you want to include. You will need to repeat this for

al axis, go to the "Horizontal (Category) Axis Labels," select "Edit", then highlight

e Excel's FV function to calculate the future value. Suppose you have the following

the exponential growth in practice, we can graph the future value table. It looks

6 7 8 9 10

nt Periods and Rates

0%

5%

10%

15%

20%


26/150

you will have:

lue. We left the payment and type blank for now, but we will discuss this in more

ks like a calculator in that it expects cash flows. If we had left the present value as a

ers to show as positive, we entered a negative in front of the present value.

ing the FV function, if the purchase price of the island was invested, how much


27/150

hat payment today?

nt value, but rather talk about the PV function. The PV syntax is similar to the FV

or the entire spreadsheet to display the future value. To get the future value to

ect the cells you want merged into one cell and click on the icon. The second thing is

nt and in the cents. You might think this is strange, and indeed it is. The reason is

rally does not create a problem in most calculations, it is something that you

add-in to Excel available that will calculate to 32,767 digits.


28/150

15% 20%

1.00000 1.00000

0.86957 0.83333

0.75614 0.694440.65752 0.57870

0.57175 0.48225

0.49718 0.40188

0.43233 0.33490

0.37594 0.27908

0.32690 0.23257

0.28426 0.19381

ue. We left the payment and type blank for now, but we will discuss these later on.

lator in that it expects cash flows. If we had left the future value as a positive

how as positive, we entered a negative in front of the future value.

e upper left hand corner, enter the equation you would like to use into thetable, go to the Data tab, What-If Analysis, then Data Table. Excel will prompt you to

ered. For this data table , our entries were:

a table will be filled in automatically. We left the calculation in the upper left hand

ecting Format Cells, choosing Custom, and entering the custom type as a

es and periods. A two-way data table allows us to do this very easily. First, we'll set


29/150

, he will pay at some point in the future. What interest rate would the Beatty Corp.

desired time period is a relatively simple problem using Excel.

rged the cells, typed in the text, right clicked on the cells and selected "Format

6 7 8 9 10

ears)

erent Periods and Rates

0%

5%

10%

15%

20%


30/150

t the payment and type blank for now, but we will discuss these later on. Notice

in that it expects cash flows. We could have also made the present value positive

um today to reach a desired amount in the future.

g must you wait to buy the company?


31/150

ment and type blank for now, but we will discuss these later on. Notice also that we

cts cash flows. We could have also made the present value positive and the future

ceive will change every year. With the following assumptions, how much will you

ill receive the year 1 interest rate. We will use the value at the end of year 1 to

d that the value each year is:

he future value of this amount. Using the FVSCHEDULE function, we find that the


32/150

ould Finance.com make this investment? What is the net present value?

e interest rates for each period.

Unfortunately, as we will see, computer programmers don't understand net


33/150

ction. The reason is simple. When the programmers created the NPV function, they

alculated the present value of cash flows. So, to calculate the NPV of a series of

d time 0, then add the cash flow at time zero to the result. To see how we did this,

ple, to find the present value of the Sidney Crosby contract we discussed in the


34/150


35/150


36/150


37/150


38/150


39/150


40/150


41/150


42/150


43/150


44/150


45/150


46/150


47/150


48/150


49/150


50/150


51/150


52/150


53/150


54/150


55/150


56/150


57/150


58/150


59/150


60/150


61/150


62/150


63/150


64/150


65/150


66/150


67/150


68/150


69/150


70/150


71/150


72/150


73/150


74/150


75/150


76/150


77/150


78/150


79/150


80/150


81/150


82/150


83/150


84/150


85/150


86/150


87/150


88/150


89/150


90/150


91/150


92/150


93/150


94/150


Compounding Periods

Example 4.11: EARs

APR: 24%

Compounding periods per year: 12

EAR: 26.82%

RWJ Excel Tip

Of course, you may have the EAR and need to find the APR. Remember that the APR is the legally quot

EAR: 18%

Compounding periods per year: 12

APR: 16.67%

Excel has functions to calculate the effective annual rate and the annual percentage rate.

Suppose Fernando Zapatero makes a deposit in an account with the following stated annual interest r

account?

To calculate the effective annual rate, we can use the EFFECT function as follows:

In the EFFECT function, Nominal_rate is the APR and Npery is the number of compounding periods per

As a lender, you know the interest rate and the number of compounding periods per year. In order to


95/150

RWJ Excel Tip

APR: 5.50%

EAR: 5.65%

RWJ Excel Tip

To calculate the exponential function, we use EXP, found under the Math & Trig functions, as follows:

Example 4.14: Continuous Compounding

To calculate the annual percentage rate, we can use the NOMINAL function as follows:

In the NOMINAL function, Effect_rate is the EAR and Npery is the number of compounding periods per

Continuous Compounding

Excel does not have a function for continuous compounding, but it does have a function that calculate

Suppose Linda DeFond makes a deposit into an account with the following APR. The account has conti


96/150

The sole argument of this Excel function is Number, which is the number we want to calculate the exp

this case. Since we are dealing with interest rates, we need to calculate the exponential function for th


97/150

ed interest rate on loans.

te and compounding periods per year. What is the EAR of this

year.

arn this interest rate, what rate do you quote?


98/150

year.

the exponential function (e ).

uous compounding. What is the EAR of this account?


99/150

nential value. If you notice, the function returns 1.056540615 in

e interest rate and then subtract 1 (one.)


100/150


101/150


102/150


Simplifications

Present Value for Annuity Cash Flows

Annual payment: 50,000$Number of years for payments: 20

Interest rate: 8%


RWJ Excel Tip

Excel does not have built-in functions for perpetuities, growing perpetuities, or growing an

cell. We'll leave this up to you and instead concentrate on the broad array of annuity calcul

Example 4.19: Lottery Valuation

Finding the present value of an annuity is a simple task in Excel. Remember the Pmt argum

the annuity payment. Finding the present value of an annuity uses the PV function with the

Mark Young just won the state lottery and will receive the following set of equal payments

To find the present value of this annuity, we used the following arguments:

Rate is simply the interest rate, Nper is the number of periods, and Pmt is the annuity pay

negative sign in front of the payment. Excel works like a calculator in that one of the cash fl

payment as a positive number we would have gotten a negative answer. Since we prefer o


103/150

Future Value for Annuities

Suppose you make the following deposits into a Roth IRA for retirement? How much will yo

Annual savings: 3,000$

Number of years to save: 30

Interest rate: 6%

Future value: 237,174.56$

RWJ Excel Tip

Rate is simply the interest rate, Nper is the number of periods, and Pmt is the annuity paynegative sign in front of the payment. Excel works like a calculator in that one of the cash fl

payment as a positive number we would have gotten a negative answer. Since we prefer o

The NPER and RATE functions can be used with the future value to find the number of peri

value.

Example 4.20: Retirement Investing

We can find the future value of an annuity using the Pmt argument in the FV function. Sup

will you have when you retire?

To find the future value of this annuity, we used the following arguments:


104/150

Purchase price: 175,000$

Number of months for repayment: 240

Monthly interest rate: 0.50%

Monthly payment: 1,253.75$

RWJ Excel Tip

Retirement goal: 1,500,000$

Annual amount to save: 4,000$

Number of years to save: 35

Interest rate: 11.40%

Rate is simply the interest rate, Nper is the number of periods, and Pv is the present value.

sign in front of the present value. Excel works like a calculator in that one of the cash flows

present value as a positive number we would have gotten a negative answer. Since we pref

value.

To find the interest rate for an annuity, Excel uses the RATE function. Suppose you are savi

retirement balance. What interest rate is necessary for you to reach your goal?

Finding the Annuity Payment

Finding the Interest Rate

To find the annuity payment, Excel uses the PMT function. Suppose you are buying a house

To find the annuity payment, we used the following arguments:


105/150

RWJ Excel Tip

Finding the Number of Payments

Amount owed: 3,000$

Monthly payment: 50$

Monthly interest rate: 1.50%

Number of months to pay off card: 154.65

Number of years to pay off card: 12.89

RWJ Excel Tip

To find the number of periods, we used the following arguments:

Nper is the number of periods, Pmt is the annuity payment, and Fv is the future value. Sinc

sign in front of the payment. Excel requires that one of the cash flows be positive and one

future value negative and would have received the same answer.

You ran a little short on your vacation, so you charged on your credit card. With the followi

To find the number of periods, Excel uses the NPER function.

To find the interest rate, we used the following arguments:


106/150

Example 4.21 Delayed Annuities

Number of payments: 4

Amount of each payment: 500$

Date of first payment: 6Interest rate: 10%

First, we can find the present value of the annuity payments, which is:

Annuity present value: 1,584.93$

Value today: 984.12$

RWJ Excel Tip

Trick 1: A Delayed Annuity

Rate is the interest rate per period, Pmt is the annuity payment, and Pv is the present valu

negative sign in front of the payment. Excel requires that one of the cash flows be positive

the future value negative and would have received the same answer.

One of the tricks of annuities is getting the timing right. When we are dealing with a delay

Suppose Danielle Caravello will receive the following annuity payments. What is the value

Of course, we could solve this question with one calculation cell. Excel allows you to "nest"

calculation inside the present value of the lump sum without the intermediate step of calcu

results in a cleaner looking spreadsheet.

Now that we have the lump sum value, we can find the present value of the lump sum. We

the first payment, so we need to subtract one from the date of the first payment. So, the v


107/150


Year Beginning

1 $ -

2 $ -3 $ -

4 $ -

5 -$

6 500$

7 500$

8 500$

9 500$

10 -$

Interest rate 10%


Trick 2: Annuity Due

Example 4.22: Annuity Due

Beginning of period annuity deposit: 50,000$

Number of years: 20

Interest rate: 8%


RWJ Excel Tip

So far, we have talked about ordinary annuities, that is, the payments occur at the end of t

the period.

To calculate the present value of an annuity due, we use the PV function and set the type o

Of course, there is another way to calculate the value of this annuity today. Suppose we se

With the cash flows set up like this, we can use the NPV function to find the value of the ca

Suppose Mark DeYoung, who won the lottery in a previous example, still wins the lottery b

winnings today?


108/150

Example 4.23: Infrequent Annuities

Ann Chen is going to received the following annuity payments. What is the value of the pay

Annuity payment: 450$

Years between payments: 2

Years for payments: 20

EAR: 6%

Effective multi-year rate: 12.36%

Now we can use this rate to find the value today, which is:

Value today: 2,505.57$

Value today: 2,505.57$

Of course, we could always nest the functions to calculate the value today in one cell:

We can answer this problem in two steps. First, we need to find the effective rate for the y

In the FV and PV functions, the Type represents the payment type. If this argument is left b

entered, Excel uses beginning of period payments.


109/150

uities. Each of these can be calculated by inputting the equations directly into a

ations in this section.

nt in the PV and FV functions that we left blank in Section 4.2? The Pmt stands for

annuity payment in the Pmt argument.

beginning one year from now. What is the value of the payments today?

ent. Since there is no present value, we left this blank. Notice also that we put a

ows must be positive and one of the cash flows must be negative. If we had left the

r answers to show as positive, we entered a negative in front of the payment.


110/150

u have in your account when your golden years start?

ent. Since there is no present value, we left this blank. Notice also that we put aows must be positive and one of the cash flows must be negative. If we had left the

r answers to show as positive, we entered a negative in front of the payment.

ds or interest rate in the same manner we used these functions with the present

ose you are saving for retirement. Based on the following assumptions, how much


111/150

Since there is no future value, we left this blank. Notice also that we put a negative

must be positive and one of the cash flows must be negative. If we had left the

er our answers to show as positive, we entered a negative in front of the present

g for retirement and know how much you will save every year, as well as a target

with the following terms. What is your monthly mortgage payment?


112/150

there is no present value, we left this blank. Notice also that we put a negative

f the cash flows be negative. We could have made the payment positive and the

g assumptions, how long will it take you to pay off your credit card?


113/150

. Since there is no future value, we left this blank. Notice also that we put a

nd one of the cash flows negative. We could have made the payment positive and

d annuity, there are a couple of ways to handle the calculation in Excel.

f the payments today?

one function inside another. Below, we nested the present value of the annuity

lating the present value of the annuity. Although this is a little more difficult, it also

also need to remember that the present value of an annuity is one period before

lue of the annuity today is:


114/150


115/150

ments today?

ars between the annuity payments, which is:

lank or a 0 (zero) is entered, Excel uses end of period payments. If a 1 (one) is


116/150


117/150


118/150


119/150


120/150


Loan Amortization

Equal Principal Payment

Loan amount: 350,000$

Interest rate: 9%

This means that the equal annual principal payments will be:

Principal payments: 23,333.33$

So, the equal principal payment amortization table will look like this:

Beginning

Balance

Total

Payment

Interest

Paid

Principal

Payment

1 350,000.00$ 54,833.33$ 31,500.00$ 23,333.33$

2 326,666.67 52,733.33 29,400.00 23,333.33

3 303,333.33 50,633.33 27,300.00 23,333.33

4 280,000.00 48,533.33 25,200.00 23,333.33

5 256,666.67 46,433.33 23,100.00 23,333.33

6 233,333.33 44,333.33 21,000.00 23,333.337 210,000.00 42,233.33 18,900.00 23,333.33

8 186,666.67 40,133.33 16,800.00 23,333.33

9 163,333.33 38,033.33 14,700.00 23,333.33

10 140,000.00 35,933.33 12,600.00 23,333.33

11 116,666.67 33,833.33 10,500.00 23,333.33

12 93,333.33 31,733.33 8,400.00 23,333.33

13 70,000.00 29,633.33 6,300.00 23,333.33

14 46,666.67 27,533.33 4,200.00 23,333.33

15 23,333.33 25,433.33 2,100.00 23,333.33

Total 602,000.00$ 252,000.00$ 350,000.00$

RWJ Excel Tip

Amortization tables are an excellent application of Excel's abilities. Because an amortizati

fill in the rest of the amortization table. Suppose we have the following 15 year loan that r

To create the table, we first set up the header row and column. The beginning balance ref

earlier calculation of the principal payment, and the interest paid is the beginning balance

this for the second period, except that the beginning balance in period 2 is the ending bal

and interest rate, we can copy and paste the second row to fill in the table. To find the tot

sum button.


121/150

Equal Payment


Interest rate: 9%

Equal payments: 43,420.61$

BeginningBalance

TotalPayment

InterestPaid

PrincipalPayment

1 350,000.00$ 43,420.61$ 31,500.00$ 11,920.61$

2 338,079.39 43,420.61 30,427.15 12,993.46

3 325,085.93 43,420.61 29,257.73 14,162.88

4 310,923.05 43,420.61 27,983.07 15,437.53

5 295,485.52 43,420.61 26,593.70 16,826.91

6 278,658.61 43,420.61 25,079.27 18,341.33

7 260,317.27 43,420.61 23,428.55 19,992.05

8 240,325.22 43,420.61 21,629.27 21,791.34

9 218,533.88 43,420.61 19,668.05 23,752.5610 194,781.32 43,420.61 17,530.32 25,890.29

11 168,891.03 43,420.61 15,200.19 28,220.42

12 140,670.61 43,420.61 12,660.35 30,760.25

13 109,910.36 43,420.61 9,891.93 33,528.68

14 76,381.68 43,420.61 6,874.35 36,546.26

15 39,835.42 43,420.61 3,585.19 39,835.42

651,309.13$ 301,309.13$ 350,000.00$

RWJ Excel Tip

To create the table, we first set up the header row and column. The beginning balance ref

calculation of the payment amount, the interest payment is the beginning balance multipl

is the total payment minus the interest paid. The ending balance is the beginning balance

that the beginning balance in period 2 is the ending balance in period 1. Since we have us

paste the second row to fill in the table. To find the total payments, total interest paymen

Creating an equal payment amortization schedule is similar to the equal principal amortiz

which we can calculate using the PMT function we discussed earlier. The loan payment wil

This means that the equal annual payments will be:

So, the equal annual payment amortization table will look like this:


122/150

RWJ Excel Tip

"Balloon" or "Bullet" Loans

Suppose we have a commercial mortgage with the following characteristics. What will the


Amortization period (years): 20Time balloon payment due (years): 5

Payments per year: 12

Interest rate (APR): 12.00%

Monthly payment: 1,101.09$

Loan amortization tables are so common that Excel has a built-in worksheet to calculate a

select Insert, then the Spreadsheet Solutions tab. Below you will see the built-in spreadsh

Loan Amortization worksheet. We entered the values in the table at the top and the entir

Balloon loans are loans that are amortized over a relatively long schedule, but at some poi

going to be a little fancier here and set up the problem so that it works with any repayme

loan with the following characteristics:

Example 4.28: Partial Amortization, or "Bite the Bullet"

So, based on the original amortization schedule, the payments will be:


123/150

Balloon payment: 91,744.33$

Balloon payment: 91,744.33$

The balloon payment is the present value of the remaining payments, so the balloon pay

Of course, we could have nested the functions to find the balloon payment as well like thi


124/150

Ending

Balance

326,666.67$

303,333.33

280,000.00

256,666.67

233,333.33

210,000.00186,666.67

163,333.33

140,000.00

116,666.67

93,333.33

70,000.00

46,666.67

23,333.33

-

n table is repetitive, once we get the first couple of rows, we can copy and paste to

equires equal principal payments each year:

erences the loan amount, the principal payment is an absolute reference to the

multiplied by the interest rate (which is an absolute reference.) We then repeated

nce in period 1. Since we have used absolute references for the principal payment

al payments, total interest payments, and total principal payments, we used the


125/150

EndingBalance

338,079.39$

325,085.93

310,923.05

295,485.52

278,658.61

260,317.27

240,325.22

218,533.88

194,781.32168,891.03

140,670.61

109,910.36

76,381.68

39,835.42

0.00

erenced the loan amount, the total payment is an absolute reference to the earlier

ied by the interest rate (which is an absolute reference,) and the principal payment

minus the principal payment. We then repeated this for the second period, except

d absolute references for the total payment and interest rate, we can copy and

ts, and total principal payments over the life of the loan, we used the sum button.

tion schedule. First, we need to calculate the loan payment for the 15 year loan,

l be:


126/150

monthly payment be? How big will the balloon payment be?

loan amortization. To find this worksheet, right-click on one of the worksheet tabs,

et options. We selected the Loan Amortization worksheet and Excel inserted the

loan amortization table was constructed automatically.

nt during the life of the loan, the remaining principal of the loan is repaid. We are

t schedule, whether annually, monthly, or any other period. Suppose we have a


127/150

ent will be:

:


128/150


129/150


130/150


131/150

Loan Amortization Schedule

Loan amount 250,000.00$

Annual interest rate 3.10 % Sch

Loan period in years 30

Number of payments per year 12

Start date of loan 8/1/2013

Optional extra payments

Lender name:

Pmt.

No.Payment Date Beginning Balance

Scheduled

PaymentExtra Payment Total Payment Principal Interest

1 9/1/2013 250,000.00$ 1,067.54$ -$ 1,067.54$ 421.71$ 645.83$

2 10/1/2013 249,578.29$ 1,067.54$ -$ 1,067.54$ 422.80$ 644.74$

3 11/1/2013 249,155.50$ 1,067.54$ -$ 1,067.54$ 423.89$ 643.65$

4 12/1/2013 248,731.61$ 1,067.54$ -$ 1,067.54$ 424.98$ 642.56$

5 1/1/2014 248,306.62$ 1,067.54$ -$ 1,067.54$ 426.08$ 641.46$

6 2/1/2014 247,880.54$ 1,067.54$ -$ 1,067.54$ 427.18$ 640.36$

7 3/1/2014 247,453.36$ 1,067.54$ -$ 1,067.54$ 428.29$ 639.25$

8 4/1/2014 247,025.07$ 1,067.54$ -$ 1,067.54$ 429.39$ 638.15$

9 5/1/2014 246,595.68$ 1,067.54$ -$ 1,067.54$ 430.50$ 637.04$

10 6/1/2014 246,165.17$ 1,067.54$ -$ 1,067.54$ 431.61$ 635.93$ 11 7/1/2014 245,733.56$ 1,067.54$ -$ 1,067.54$ 432.73$ 634.81$

12 8/1/2014 245,300.83$ 1,067.54$ -$ 1,067.54$ 433.85$ 633.69$

13 9/1/2014 244,866.98$ 1,067.54$ -$ 1,067.54$ 434.97$ 632.57$

14 10/1/2014 244,432.02$ 1,067.54$ -$ 1,067.54$ 436.09$ 631.45$

15 11/1/2014 243,995.92$ 1,067.54$ -$ 1,067.54$ 437.22$ 630.32$

16 12/1/2014 243,558.71$ 1,067.54$ -$ 1,067.54$ 438.35$ 629.19$

17 1/1/2015 243,120.36$ 1,067.54$ -$ 1,067.54$ 439.48$ 628.06$

18 2/1/2015 242,680.88$ 1,067.54$ -$ 1,067.54$ 440.62$ 626.93$

19 3/1/2015 242,240.26$ 1,067.54$ -$ 1,067.54$ 441.75$ 625.79$

20 4/1/2015 241,798.51$ 1,067.54$ -$ 1,067.54$ 442.89$ 624.65$

21 5/1/2015 241,355.61$ 1,067.54$ -$ 1,067.54$ 444.04$ 623.50$

22 6/1/2015 240,911.58$ 1,067.54$ -$ 1,067.54$ 445.19$ 622.35$

23 7/1/2015 240,466.39$ 1,067.54$ -$ 1,067.54$ 446.34$ 621.20$

24 8/1/2015 240,020.05$ 1,067.54$ -$ 1,067.54$ 447.49$ 620.05$

25 9/1/2015 239,572.56$ 1,067.54$ -$ 1,067.54$ 448.65$ 618.90$

26 10/1/2015 239,123.92$ 1,067.54$ -$ 1,067.54$ 449.80$ 617.74$

27 11/1/2015 238,674.11$ 1,067.54$ -$ 1,067.54$ 450.97$ 616.57$

28 12/1/2015 238,223.15$ 1,067.54$ -$ 1,067.54$ 452.13$ 615.41$

29 1/1/2016 237,771.02$ 1,067.54$ -$ 1,067.54$ 453.30$ 614.24$

30 2/1/2016 237,317.72$ 1,067.54$ -$ 1,067.54$ 454.47$ 613.07$

31 3/1/2016 236,863.25$ 1,067.54$ -$ 1,067.54$ 455.64$ 611.90$

32 4/1/2016 236,407.60$ 1,067.54$ -$ 1,067.54$ 456.82$ 610.72$

33 5/1/2016 235,950.78$ 1,067.54$ -$ 1,067.54$ 458.00$ 609.54$

34 6/1/2016 235,492.78$ 1,067.54$ -$ 1,067.54$ 459.18$ 608.36$

35 7/1/2016 235,033.60$ 1,067.54$ -$ 1,067.54$ 460.37$ 607.17$

36 8/1/2016 234,573.23$ 1,067.54$ -$ 1,067.54$ 461.56$ 605.98$

37 9/1/2016 234,111.67$ 1,067.54$ -$ 1,067.54$ 462.75$ 604.79$

Enter values


132/150

Pmt.


Scheduled


38 10/1/2016 233,648.91$ 1,067.54$ -$ 1,067.54$ 463.95$ 603.59$

39 11/1/2016 233,184.96$ 1,067.54$ -$ 1,067.54$ 465.15$ 602.39$

40 12/1/2016 232,719.82$ 1,067.54$ -$ 1,067.54$ 466.35$ 601.19$

41 1/1/2017 232,253.47$ 1,067.54$ -$ 1,067.54$ 467.55$ 599.99$

42 2/1/2017 231,785.92$ 1,067.54$ -$ 1,067.54$ 468.76$ 598.78$

43 3/1/2017 231,317.16$ 1,067.54$ -$ 1,067.54$ 469.97$ 597.57$

44 4/1/2017 230,847.18$ 1,067.54$ -$ 1,067.54$ 471.19$ 596.36$

45 5/1/2017 230,376.00$ 1,067.54$ -$ 1,067.54$ 472.40$ 595.14$

46 6/1/2017 229,903.60$ 1,067.54$ -$ 1,067.54$ 473.62$ 593.92$ 47 7/1/2017 229,429.97$ 1,067.54$ -$ 1,067.54$ 474.85$ 592.69$

48 8/1/2017 228,955.13$ 1,067.54$ -$ 1,067.54$ 476.07$ 591.47$

49 9/1/2017 228,479.05$ 1,067.54$ -$ 1,067.54$ 477.30$ 590.24$

50 10/1/2017 228,001.75$ 1,067.54$ -$ 1,067.54$ 478.54$ 589.00$

51 11/1/2017 227,523.21$ 1,067.54$ -$ 1,067.54$ 479.77$ 587.77$

52 12/1/2017 227,043.44$ 1,067.54$ -$ 1,067.54$ 481.01$ 586.53$

53 1/1/2018 226,562.43$ 1,067.54$ -$ 1,067.54$ 482.25$ 585.29$

54 2/1/2018 226,080.17$ 1,067.54$ -$ 1,067.54$ 483.50$ 584.04$

55 3/1/2018 225,596.67$ 1,067.54$ -$ 1,067.54$ 484.75$ 582.79$

56 4/1/2018 225,111.92$ 1,067.54$ -$ 1,067.54$ 486.00$ 581.54$

57 5/1/2018 224,625.92$ 1,067.54$ -$ 1,067.54$ 487.26$ 580.28$

58 6/1/2018 224,138.66$ 1,067.54$ -$ 1,067.54$ 488.52$ 579.02$

59 7/1/2018 223,650.15$ 1,067.54$ -$ 1,067.54$ 489.78$ 577.76$

60 8/1/2018 223,160.37$ 1,067.54$ -$ 1,067.54$ 491.04$ 576.50$

61 9/1/2018 222,669.33$ 1,067.54$ -$ 1,067.54$ 492.31$ 575.23$ 62 10/1/2018 222,177.01$ 1,067.54$ -$ 1,067.54$ 493.58$ 573.96$

63 11/1/2018 221,683.43$ 1,067.54$ -$ 1,067.54$ 494.86$ 572.68$

64 12/1/2018 221,188.57$ 1,067.54$ -$ 1,067.54$ 496.14$ 571.40$

65 1/1/2019 220,692.43$ 1,067.54$ -$ 1,067.54$ 497.42$ 570.12$

66 2/1/2019 220,195.02$ 1,067.54$ -$ 1,067.54$ 498.70$ 568.84$

67 3/1/2019 219,696.31$ 1,067.54$ -$ 1,067.54$ 499.99$ 567.55$

68 4/1/2019 219,196.32$ 1,067.54$ -$ 1,067.54$ 501.28$ 566.26$

69 5/1/2019 218,695.04$ 1,067.54$ -$ 1,067.54$ 502.58$ 564.96$

70 6/1/2019 218,192.46$ 1,067.54$ -$ 1,067.54$ 503.88$ 563.66$

71 7/1/2019 217,688.58$ 1,067.54$ -$ 1,067.54$ 505.18$ 562.36$

72 8/1/2019 217,183.40$ 1,067.54$ -$ 1,067.54$ 506.48$ 561.06$

73 9/1/2019 216,676.92$ 1,067.54$ -$ 1,067.54$ 507.79$ 559.75$

74 10/1/2019 216,169.12$ 1,067.54$ -$ 1,067.54$ 509.10$ 558.44$

75 11/1/2019 215,660.02$ 1,067.54$ -$ 1,067.54$ 510.42$ 557.12$

76 12/1/2019 215,149.60$ 1,067.54$ -$ 1,067.54$ 511.74$ 555.80$ 77 1/1/2020 214,637.86$ 1,067.54$ -$ 1,067.54$ 513.06$ 554.48$

78 2/1/2020 214,124.80$ 1,067.54$ -$ 1,067.54$ 514.39$ 553.16$

79 3/1/2020 213,610.42$ 1,067.54$ -$ 1,067.54$ 515.71$ 551.83$

80 4/1/2020 213,094.70$ 1,067.54$ -$ 1,067.54$ 517.05$ 550.49$

81 5/1/2020 212,577.66$ 1,067.54$ -$ 1,067.54$ 518.38$ 549.16$

82 6/1/2020 212,059.28$ 1,067.54$ -$ 1,067.54$ 519.72$ 547.82$

83 7/1/2020 211,539.55$ 1,067.54$ -$ 1,067.54$ 521.06$ 546.48$

84 8/1/2020 211,018.49$ 1,067.54$ -$ 1,067.54$ 522.41$ 545.13$

85 9/1/2020 210,496.08$ 1,067.54$ -$ 1,067.54$ 523.76$ 543.78$

86 10/1/2020 209,972.32$ 1,067.54$ -$ 1,067.54$ 525.11$ 542.43$

87 11/1/2020 209,447.21$ 1,067.54$ -$ 1,067.54$ 526.47$ 541.07$

88 12/1/2020 208,920.74$ 1,067.54$ -$ 1,067.54$ 527.83$ 539.71$


133/150

Pmt.


Scheduled


89 1/1/2021 208,392.91$ 1,067.54$ -$ 1,067.54$ 529.19$ 538.35$

90 2/1/2021 207,863.72$ 1,067.54$ -$ 1,067.54$ 530.56$ 536.98$

91 3/1/2021 207,333.16$ 1,067.54$ -$ 1,067.54$ 531.93$ 535.61$

92 4/1/2021 206,801.23$ 1,067.54$ -$ 1,067.54$ 533.30$ 534.24$

93 5/1/2021 206,267.92$ 1,067.54$ -$ 1,067.54$ 534.68$ 532.86$

94 6/1/2021 205,733.24$ 1,067.54$ -$ 1,067.54$ 536.06$ 531.48$

95 7/1/2021 205,197.18$ 1,067.54$ -$ 1,067.54$ 537.45$ 530.09$

96 8/1/2021 204,659.73$ 1,067.54$ -$ 1,067.54$ 538.84$ 528.70$

97 9/1/2021 204,120.89$ 1,067.54$ -$ 1,067.54$ 540.23$ 527.31$ 98 10/1/2021 203,580.66$ 1,067.54$ -$ 1,067.54$ 541.62$ 525.92$

99 11/1/2021 203,039.04$ 1,067.54$ -$ 1,067.54$ 543.02$ 524.52$

100 12/1/2021 202,496.02$ 1,067.54$ -$ 1,067.54$ 544.43$ 523.11$

101 1/1/2022 201,951.59$ 1,067.54$ -$ 1,067.54$ 545.83$ 521.71$

102 2/1/2022 201,405.76$ 1,067.54$ -$ 1,067.54$ 547.24$ 520.30$

103 3/1/2022 200,858.51$ 1,067.54$ -$ 1,067.54$ 548.66$ 518.88$

104 4/1/2022 200,309.86$ 1,067.54$ -$ 1,067.54$ 550.07$ 517.47$

105 5/1/2022 199,759.78$ 1,067.54$ -$ 1,067.54$ 551.49$ 516.05$

106 6/1/2022 199,208.29$ 1,067.54$ -$ 1,067.54$ 552.92$ 514.62$

107 7/1/2022 198,655.37$ 1,067.54$ -$ 1,067.54$ 554.35$ 513.19$

108 8/1/2022 198,101.02$ 1,067.54$ -$ 1,067.54$ 555.78$ 511.76$

109 9/1/2022 197,545.24$ 1,067.54$ -$ 1,067.54$ 557.22$ 510.33$

110 10/1/2022 196,988.03$ 1,067.54$ -$ 1,067.54$ 558.66$ 508.89$

111 11/1/2022 196,429.37$ 1,067.54$ -$ 1,067.54$ 560.10$ 507.44$

112 12/1/2022 195,869.27$ 1,067.54$ -$ 1,067.54$ 561.55$ 506.00$ 113 1/1/2023 195,307.73$ 1,067.54$ -$ 1,067.54$ 563.00$ 504.54$

114 2/1/2023 194,744.73$ 1,067.54$ -$ 1,067.54$ 564.45$ 503.09$

115 3/1/2023 194,180.28$ 1,067.54$ -$ 1,067.54$ 565.91$ 501.63$

116 4/1/2023 193,614.37$ 1,067.54$ -$ 1,067.54$ 567.37$ 500.17$

117 5/1/2023 193,047.00$ 1,067.54$ -$ 1,067.54$ 568.84$ 498.70$

118 6/1/2023 192,478.16$ 1,067.54$ -$ 1,067.54$ 570.31$ 497.24$

119 7/1/2023 191,907.86$ 1,067.54$ -$ 1,067.54$ 571.78$ 495.76$

120 8/1/2023 191,336.08$ 1,067.54$ -$ 1,067.54$ 573.26$ 494.28$

121 9/1/2023 190,762.82$ 1,067.54$ -$ 1,067.54$ 574.74$ 492.80$

122 10/1/2023 190,188.09$ 1,067.54$ -$ 1,067.54$ 576.22$ 491.32$

123 11/1/2023 189,611.87$ 1,067.54$ -$ 1,067.54$ 577.71$ 489.83$

124 12/1/2023 189,034.15$ 1,067.54$ -$ 1,067.54$ 579.20$ 488.34$

125 1/1/2024 188,454.95$ 1,067.54$ -$ 1,067.54$ 580.70$ 486.84$

126 2/1/2024 187,874.25$ 1,067.54$ -$ 1,067.54$ 582.20$ 485.34$

127 3/1/2024 187,292.05$ 1,067.54$ -$ 1,067.54$ 583.70$ 483.84$ 128 4/1/2024 186,708.35$ 1,067.54$ -$ 1,067.54$ 585.21$ 482.33$

129 5/1/2024 186,123.14$ 1,067.54$ -$ 1,067.54$ 586.72$ 480.82$

130 6/1/2024 185,536.42$ 1,067.54$ -$ 1,067.54$ 588.24$ 479.30$

131 7/1/2024 184,948.18$ 1,067.54$ -$ 1,067.54$ 589.76$ 477.78$

132 8/1/2024 184,358.42$ 1,067.54$ -$ 1,067.54$ 591.28$ 476.26$

133 9/1/2024 183,767.14$ 1,067.54$ -$ 1,067.54$ 592.81$ 474.73$

134 10/1/2024 183,174.33$ 1,067.54$ -$ 1,067.54$ 594.34$ 473.20$

135 11/1/2024 182,579.99$ 1,067.54$ -$ 1,067.54$ 595.88$ 471.66$

136 12/1/2024 181,984.11$ 1,067.54$ -$ 1,067.54$ 597.42$ 470.13$

137 1/1/2025 181,386.70$ 1,067.54$ -$ 1,067.54$ 598.96$ 468.58$

138 2/1/2025 180,787.74$ 1,067.54$ -$ 1,067.54$ 600.51$ 467.03$

139 3/1/2025 180,187.23$ 1,067.54$ -$ 1,067.54$ 602.06$ 465.48$


134/150

Pmt.


Scheduled


140 4/1/2025 179,585.17$ 1,067.54$ -$ 1,067.54$ 603.61$ 463.93$

141 5/1/2025 178,981.56$ 1,067.54$ -$ 1,067.54$ 605.17$ 462.37$

142 6/1/2025 178,376.39$ 1,067.54$ -$ 1,067.54$ 606.74$ 460.81$

143 7/1/2025 177,769.65$ 1,067.54$ -$ 1,067.54$ 608.30$ 459.24$

144 8/1/2025 177,161.35$ 1,067.54$ -$ 1,067.54$ 609.87$ 457.67$

145 9/1/2025 176,551.48$ 1,067.54$ -$ 1,067.54$ 611.45$ 456.09$

146 10/1/2025 175,940.03$ 1,067.54$ -$ 1,067.54$ 613.03$ 454.51$

147 11/1/2025 175,327.00$ 1,067.54$ -$ 1,067.54$ 614.61$ 452.93$

148 12/1/2025 174,712.39$ 1,067.54$ -$ 1,067.54$ 616.20$ 451.34$ 149 1/1/2026 174,096.19$ 1,067.54$ -$ 1,067.54$ 617.79$ 449.75$

150 2/1/2026 173,478.39$ 1,067.54$ -$ 1,067.54$ 619.39$ 448.15$

151 3/1/2026 172,859.00$ 1,067.54$ -$ 1,067.54$ 620.99$ 446.55$

152 4/1/2026 172,238.02$ 1,067.54$ -$ 1,067.54$ 622.59$ 444.95$

153 5/1/2026 171,615.42$ 1,067.54$ -$ 1,067.54$ 624.20$ 443.34$

154 6/1/2026 170,991.22$ 1,067.54$ -$ 1,067.54$ 625.81$ 441.73$

155 7/1/2026 170,365.41$ 1,067.54$ -$ 1,067.54$ 627.43$ 440.11$

156 8/1/2026 169,737.98$ 1,067.54$ -$ 1,067.54$ 629.05$ 438.49$

157 9/1/2026 169,108.93$ 1,067.54$ -$ 1,067.54$ 630.68$ 436.86$

158 10/1/2026 168,478.25$ 1,067.54$ -$ 1,067.54$ 632.31$ 435.24$

159 11/1/2026 167,845.95$ 1,067.54$ -$ 1,067.54$ 633.94$ 433.60$

160 12/1/2026 167,212.01$ 1,067.54$ -$ 1,067.54$ 635.58$ 431.96$

161 1/1/2027 166,576.43$ 1,067.54$ -$ 1,067.54$ 637.22$ 430.32$

162 2/1/2027 165,939.21$ 1,067.54$ -$ 1,067.54$ 638.86$ 428.68$

163 3/1/2027 165,300.35$ 1,067.54$ -$ 1,067.54$ 640.52$ 427.03$ 164 4/1/2027 164,659.83$ 1,067.54$ -$ 1,067.54$ 642.17$ 425.37$

165 5/1/2027 164,017.66$ 1,067.54$ -$ 1,067.54$ 643.83$ 423.71$

166 6/1/2027 163,373.83$ 1,067.54$ -$ 1,067.54$ 645.49$ 422.05$

167 7/1/2027 162,728.34$ 1,067.54$ -$ 1,067.54$ 647.16$ 420.38$

168 8/1/2027 162,081.18$ 1,067.54$ -$ 1,067.54$ 648.83$ 418.71$

169 9/1/2027 161,432.35$ 1,067.54$ -$ 1,067.54$ 650.51$ 417.03$

170 10/1/2027 160,781.84$ 1,067.54$ -$ 1,067.54$ 652.19$ 415.35$

171 11/1/2027 160,129.65$ 1,067.54$ -$ 1,067.54$ 653.87$ 413.67$

172 12/1/2027 159,475.78$ 1,067.54$ -$ 1,067.54$ 655.56$ 411.98$

173 1/1/2028 158,820.22$ 1,067.54$ -$ 1,067.54$ 657.26$ 410.29$

174 2/1/2028 158,162.96$ 1,067.54$ -$ 1,067.54$ 658.95$ 408.59$

175 3/1/2028 157,504.01$ 1,067.54$ -$ 1,067.54$ 660.66$ 406.89$

176 4/1/2028 156,843.36$ 1,067.54$ -$ 1,067.54$ 662.36$ 405.18$

177 5/1/2028 156,180.99$ 1,067.54$ -$ 1,067.54$ 664.07$ 403.47$

178 6/1/2028 155,516.92$ 1,067.54$ -$ 1,067.54$ 665.79$ 401.75$ 179 7/1/2028 154,851.13$ 1,067.54$ -$ 1,067.54$ 667.51$ 400.03$

180 8/1/2028 154,183.62$ 1,067.54$ -$ 1,067.54$ 669.23$ 398.31$

181 9/1/2028 153,514.39$ 1,067.54$ -$ 1,067.54$ 670.96$ 396.58$

182 10/1/2028 152,843.43$ 1,067.54$ -$ 1,067.54$ 672.70$ 394.85$

183 11/1/2028 152,170.73$ 1,067.54$ -$ 1,067.54$ 674.43$ 393.11$

184 12/1/2028 151,496.30$ 1,067.54$ -$ 1,067.54$ 676.18$ 391.37$

185 1/1/2029 150,820.12$ 1,067.54$ -$ 1,067.54$ 677.92$ 389.62$

186 2/1/2029 150,142.20$ 1,067.54$ -$ 1,067.54$ 679.67$ 387.87$

187 3/1/2029 149,462.53$ 1,067.54$ -$ 1,067.54$ 681.43$ 386.11$

188 4/1/2029 148,781.10$ 1,067.54$ -$ 1,067.54$ 683.19$ 384.35$

189 5/1/2029 148,097.91$ 1,067.54$ -$ 1,067.54$ 684.95$ 382.59$

190 6/1/2029 147,412.95$ 1,067.54$ -$ 1,067.54$ 686.72$ 380.82$


135/150

Pmt.


Scheduled


191 7/1/2029 146,726.23$ 1,067.54$ -$ 1,067.54$ 688.50$ 379.04$

192 8/1/2029 146,037.73$ 1,067.54$ -$ 1,067.54$ 690.28$ 377.26$

193 9/1/2029 145,347.45$ 1,067.54$ -$ 1,067.54$ 692.06$ 375.48$

194 10/1/2029 144,655.39$ 1,067.54$ -$ 1,067.54$ 693.85$ 373.69$

195 11/1/2029 143,961.54$ 1,067.54$ -$ 1,067.54$ 695.64$ 371.90$

196 12/1/2029 143,265.90$ 1,067.54$ -$ 1,067.54$ 697.44$ 370.10$

197 1/1/2030 142,568.47$ 1,067.54$ -$ 1,067.54$ 699.24$ 368.30$

198 2/1/2030 141,869.23$ 1,067.54$ -$ 1,067.54$ 701.05$ 366.50$

199 3/1/2030 141,168.18$ 1,067.54$ -$ 1,067.54$ 702.86$ 364.68$ 200 4/1/2030 140,465.33$ 1,067.54$ -$ 1,067.54$ 704.67$ 362.87$

201 5/1/2030 139,760.65$ 1,067.54$ -$ 1,067.54$ 706.49$ 361.05$

202 6/1/2030 139,054.16$ 1,067.54$ -$ 1,067.54$ 708.32$ 359.22$

203 7/1/2030 138,345.84$ 1,067.54$ -$ 1,067.54$ 710.15$ 357.39$

204 8/1/2030 137,635.70$ 1,067.54$ -$ 1,067.54$ 711.98$ 355.56$

205 9/1/2030 136,923.71$ 1,067.54$ -$ 1,067.54$ 713.82$ 353.72$

206 10/1/2030 136,209.89$ 1,067.54$ -$ 1,067.54$ 715.67$ 351.88$

207 11/1/2030 135,494.23$ 1,067.54$ -$ 1,067.54$ 717.51$ 350.03$

208 12/1/2030 134,776.71$ 1,067.54$ -$ 1,067.54$ 719.37$ 348.17$

209 1/1/2031 134,057.34$ 1,067.54$ -$ 1,067.54$ 721.23$ 346.31$

210 2/1/2031 133,336.12$ 1,067.54$ -$ 1,067.54$ 723.09$ 344.45$

211 3/1/2031 132,613.03$ 1,067.54$ -$ 1,067.54$ 724.96$ 342.58$

212 4/1/2031 131,888.07$ 1,067.54$ -$ 1,067.54$ 726.83$ 340.71$

213 5/1/2031 131,161.24$ 1,067.54$ -$ 1,067.54$ 728.71$ 338.83$

214 6/1/2031 130,432.53$ 1,067.54$ -$ 1,067.54$ 730.59$ 336.95$ 215 7/1/2031 129,701.94$ 1,067.54$ -$ 1,067.54$ 732.48$ 335.06$

216 8/1/2031 128,969.47$ 1,067.54$ -$ 1,067.54$ 734.37$ 333.17$

217 9/1/2031 128,235.10$ 1,067.54$ -$ 1,067.54$ 736.27$ 331.27$

218 10/1/2031 127,498.83$ 1,067.54$ -$ 1,067.54$ 738.17$ 329.37$

219 11/1/2031 126,760.66$ 1,067.54$ -$ 1,067.54$ 740.08$ 327.47$

220 12/1/2031 126,020.58$ 1,067.54$ -$ 1,067.54$ 741.99$ 325.55$

221 1/1/2032 125,278.60$ 1,067.54$ -$ 1,067.54$ 743.90$ 323.64$

222 2/1/2032 124,534.69$ 1,067.54$ -$ 1,067.54$ 745.83$ 321.71$

223 3/1/2032 123,788.87$ 1,067.54$ -$ 1,067.54$ 747.75$ 319.79$

224 4/1/2032 123,041.11$ 1,067.54$ -$ 1,067.54$ 749.68$ 317.86$

225 5/1/2032 122,291.43$ 1,067.54$ -$ 1,067.54$ 751.62$ 315.92$

226 6/1/2032 121,539.81$ 1,067.54$ -$ 1,067.54$ 753.56$ 313.98$

227 7/1/2032 120,786.24$ 1,067.54$ -$ 1,067.54$ 755.51$ 312.03$

228 8/1/2032 120,030.73$ 1,067.54$ -$ 1,067.54$ 757.46$ 310.08$

229 9/1/2032 119,273.27$ 1,067.54$ -$ 1,067.54$ 759.42$ 308.12$ 230 10/1/2032 118,513.85$ 1,067.54$ -$ 1,067.54$ 761.38$ 306.16$

231 11/1/2032 117,752.47$ 1,067.54$ -$ 1,067.54$ 763.35$ 304.19$

232 12/1/2032 116,989.13$ 1,067.54$ -$ 1,067.54$ 765.32$ 302.22$

233 1/1/2033 116,223.81$ 1,067.54$ -$ 1,067.54$ 767.30$ 300.24$

234 2/1/2033 115,456.51$ 1,067.54$ -$ 1,067.54$ 769.28$ 298.26$

235 3/1/2033 114,687.23$ 1,067.54$ -$ 1,067.54$ 771.27$ 296.28$

236 4/1/2033 113,915.97$ 1,067.54$ -$ 1,067.54$ 773.26$ 294.28$

237 5/1/2033 113,142.71$ 1,067.54$ -$ 1,067.54$ 775.26$ 292.29$

238 6/1/2033 112,367.45$ 1,067.54$ -$ 1,067.54$ 777.26$ 290.28$

239 7/1/2033 111,590.19$ 1,067.54$ -$ 1,067.54$ 779.27$ 288.27$

240 8/1/2033 110,810.93$ 1,067.54$ -$ 1,067.54$ 781.28$ 286.26$

241 9/1/2033 110,029.65$ 1,067.54$ -$ 1,067.54$ 783.30$ 284.24$


136/150

Pmt.


Scheduled


242 10/1/2033 109,246.35$ 1,067.54$ -$ 1,067.54$ 785.32$ 282.22$

243 11/1/2033 108,461.03$ 1,067.54$ -$ 1,067.54$ 787.35$ 280.19$

244 12/1/2033 107,673.68$ 1,067.54$ -$ 1,067.54$ 789.38$ 278.16$

245 1/1/2034 106,884.30$ 1,067.54$ -$ 1,067.54$ 791.42$ 276.12$

246 2/1/2034 106,092.87$ 1,067.54$ -$ 1,067.54$ 793.47$ 274.07$

247 3/1/2034 105,299.40$ 1,067.54$ -$ 1,067.54$ 795.52$ 272.02$

248 4/1/2034 104,503.89$ 1,067.54$ -$ 1,067.54$ 797.57$ 269.97$

249 5/1/2034 103,706.31$ 1,067.54$ -$ 1,067.54$ 799.63$ 267.91$

250 6/1/2034 102,906.68$ 1,067.54$ -$ 1,067.54$ 801.70$ 265.84$ 251 7/1/2034 102,104.98$ 1,067.54$ -$ 1,067.54$ 803.77$ 263.77$

252 8/1/2034 101,301.21$ 1,067.54$ -$ 1,067.54$ 805.85$ 261.69$

253 9/1/2034 100,495.37$ 1,067.54$ -$ 1,067.54$ 807.93$ 259.61$

254 10/1/2034 99,687.44$ 1,067.54$ -$ 1,067.54$ 810.02$ 257.53$

255 11/1/2034 98,877.42$ 1,067.54$ -$ 1,067.54$ 812.11$ 255.43$

256 12/1/2034 98,065.32$ 1,067.54$ -$ 1,067.54$ 814.21$ 253.34$

257 1/1/2035 97,251.11$ 1,067.54$ -$ 1,067.54$ 816.31$ 251.23$

258 2/1/2035 96,434.80$ 1,067.54$ -$ 1,067.54$ 818.42$ 249.12$

259 3/1/2035 95,616.38$ 1,067.54$ -$ 1,067.54$ 820.53$ 247.01$

260 4/1/2035 94,795.85$ 1,067.54$ -$ 1,067.54$ 822.65$ 244.89$

261 5/1/2035 93,973.20$ 1,067.54$ -$ 1,067.54$ 824.78$ 242.76$

262 6/1/2035 93,148.42$ 1,067.54$ -$ 1,067.54$ 826.91$ 240.63$

263 7/1/2035 92,321.52$ 1,067.54$ -$ 1,067.54$ 829.04$ 238.50$

264 8/1/2035 91,492.47$ 1,067.54$ -$ 1,067.54$ 831.19$ 236.36$

265 9/1/2035 90,661.29$ 1,067.54$ -$ 1,067.54$ 833.33$ 234.21$ 266 10/1/2035 89,827.95$ 1,067.54$ -$ 1,067.54$ 835.49$ 232.06$

267 11/1/2035 88,992.47$ 1,067.54$ -$ 1,067.54$ 837.64$ 229.90$

268 12/1/2035 88,154.82$ 1,067.54$ -$ 1,067.54$ 839.81$ 227.73$

269 1/1/2036 87,315.02$ 1,067.54$ -$ 1,067.54$ 841.98$ 225.56$

270 2/1/2036 86,473.04$ 1,067.54$ -$ 1,067.54$ 844.15$ 223.39$

271 3/1/2036 85,628.89$ 1,067.54$ -$ 1,067.54$ 846.33$ 221.21$

272 4/1/2036 84,782.55$ 1,067.54$ -$ 1,067.54$ 848.52$ 219.02$

273 5/1/2036 83,934.03$ 1,067.54$ -$ 1,067.54$ 850.71$ 216.83$

274 6/1/2036 83,083.32$ 1,067.54$ -$ 1,067.54$ 852.91$ 214.63$

275 7/1/2036 82,230.41$ 1,067.54$ -$ 1,067.54$ 855.11$ 212.43$

276 8/1/2036 81,375.30$ 1,067.54$ -$ 1,067.54$ 857.32$ 210.22$

277 9/1/2036 80,517.98$ 1,067.54$ -$ 1,067.54$ 859.54$ 208.00$

278 10/1/2036 79,658.44$ 1,067.54$ -$ 1,067.54$ 861.76$ 205.78$

279 11/1/2036 78,796.69$ 1,067.54$ -$ 1,067.54$ 863.98$ 203.56$

280 12/1/2036 77,932.70$ 1,067.54$ -$ 1,067.54$ 866.21$ 201.33$ 281 1/1/2037 77,066.49$ 1,067.54$ -$ 1,067.54$ 868.45$ 199.09$

282 2/1/2037 76,198.04$ 1,067.54$ -$ 1,067.54$ 870.70$ 196.84$

283 3/1/2037 75,327.34$ 1,067.54$ -$ 1,067.54$ 872.95$ 194.60$

284 4/1/2037 74,454.40$ 1,067.54$ -$ 1,067.54$ 875.20$ 192.34$

285 5/1/2037 73,579.20$ 1,067.54$ -$ 1,067.54$ 877.46$ 190.08$

286 6/1/2037 72,701.73$ 1,067.54$ -$ 1,067.54$ 879.73$ 187.81$

287 7/1/2037 71,822.01$ 1,067.54$ -$ 1,067.54$ 882.00$ 185.54$

288 8/1/2037 70,940.00$ 1,067.54$ -$ 1,067.54$ 884.28$ 183.26$

289 9/1/2037 70,055.73$ 1,067.54$ -$ 1,067.54$ 886.56$ 180.98$

290 10/1/2037 69,169.16$ 1,067.54$ -$ 1,067.54$ 888.85$ 178.69$

291 11/1/2037 68,280.31$ 1,067.54$ -$ 1,067.54$ 891.15$ 176.39$

292 12/1/2037 67,389.16$ 1,067.54$ -$ 1,067.54$ 893.45$ 174.09$


137/150

Pmt.


Scheduled


293 1/1/2038 66,495.71$ 1,067.54$ -$ 1,067.54$ 895.76$ 171.78$

294 2/1/2038 65,599.94$ 1,067.54$ -$ 1,067.54$ 898.07$ 169.47$

295 3/1/2038 64,701.87$ 1,067.54$ -$ 1,067.54$ 900.39$ 167.15$

296 4/1/2038 63,801.48$ 1,067.54$ -$ 1,067.54$ 902.72$ 164.82$

297 5/1/2038 62,898.76$ 1,067.54$ -$ 1,067.54$ 905.05$ 162.49$

298 6/1/2038 61,993.70$ 1,067.54$ -$ 1,067.54$ 907.39$ 160.15$

299 7/1/2038 61,086.31$ 1,067.54$ -$ 1,067.54$ 909.73$ 157.81$

300 8/1/2038 60,176.58$ 1,067.54$ -$ 1,067.54$ 912.08$ 155.46$

301 9/1/2038 59,264.49$ 1,067.54$ -$ 1,067.54$ 914.44$ 153.10$ 302 10/1/2038 58,350.05$ 1,067.54$ -$ 1,067.54$ 916.80$ 150.74$

303 11/1/2038 57,433.25$ 1,067.54$ -$ 1,067.54$ 919.17$ 148.37$

304 12/1/2038 56,514.08$ 1,067.54$ -$ 1,067.54$ 921.55$ 145.99$

305 1/1/2039 55,592.53$ 1,067.54$ -$ 1,067.54$ 923.93$ 143.61$

306 2/1/2039 54,668.60$ 1,067.54$ -$ 1,067.54$ 926.31$ 141.23$

307 3/1/2039 53,742.29$ 1,067.54$ -$ 1,067.54$ 928.71$ 138.83$

308 4/1/2039 52,813.58$ 1,067.54$ -$ 1,067.54$ 931.11$ 136.44$

309 5/1/2039 51,882.48$ 1,067.54$ -$ 1,067.54$ 933.51$ 134.03$

310 6/1/2039 50,948.97$ 1,067.54$ -$ 1,067.54$ 935.92$ 131.62$

311 7/1/2039 50,013.04$ 1,067.54$ -$ 1,067.54$ 938.34$ 129.20$

312 8/1/2039 49,074.70$ 1,067.54$ -$ 1,067.54$ 940.76$ 126.78$

313 9/1/2039 48,133.94$ 1,067.54$ -$ 1,067.54$ 943.19$ 124.35$

314 10/1/2039 47,190.74$ 1,067.54$ -$ 1,067.54$ 945.63$ 121.91$

315 11/1/2039 46,245.11$ 1,067.54$ -$ 1,067.54$ 948.07$ 119.47$

316 12/1/2039 45,297.04$ 1,067.54$ -$ 1,067.54$ 950.52$ 117.02$ 317 1/1/2040 44,346.51$ 1,067.54$ -$ 1,067.54$ 952.98$ 114.56$

318 2/1/2040 43,393.53$ 1,067.54$ -$ 1,067.54$ 955.44$ 112.10$

319 3/1/2040 42,438.09$ 1,067.54$ -$ 1,067.54$ 957.91$ 109.63$

320 4/1/2040 41,480.18$ 1,067.54$ -$ 1,067.54$ 960.38$ 107.16$

321 5/1/2040 40,519.80$ 1,067.54$ -$ 1,067.54$ 962.86$ 104.68$

322 6/1/2040 39,556.93$ 1,067.54$ -$ 1,067.54$ 965.35$ 102.19$

323 7/1/2040 38,591.58$ 1,067.54$ -$ 1,067.54$ 967.85$ 99.69$

324 8/1/2040 37,623.74$ 1,067.54$ -$ 1,067.54$ 970.35$ 97.19$

325 9/1/2040 36,653.39$ 1,067.54$ -$ 1,067.54$ 972.85$ 94.69$

326 10/1/2040 35,680.54$ 1,067.54$ -$ 1,067.54$ 975.37$ 92.17$

327 11/1/2040 34,705.17$ 1,067.54$ -$ 1,067.54$ 977.89$ 89.66$

328 12/1/2040 33,727.28$ 1,067.54$ -$ 1,067.54$ 980.41$ 87.13$

329 1/1/2041 32,746.87$ 1,067.54$ -$ 1,067.54$ 982.94$ 84.60$

330 2/1/2041 31,763.93$ 1,067.54$ -$ 1,067.54$ 985.48$ 82.06$

331 3/1/2041 30,778.44$ 1,067.54$ -$ 1,067.54$ 988.03$ 79.51$ 332 4/1/2041 29,790.41$ 1,067.54$ -$ 1,067.54$ 990.58$ 76.96$

333 5/1/2041 28,799.83$ 1,067.54$ -$ 1,067.54$ 993.14$ 74.40$

334 6/1/2041 27,806.69$ 1,067.54$ -$ 1,067.54$ 995.71$ 71.83$

335 7/1/2041 26,810.98$ 1,067.54$ -$ 1,067.54$ 998.28$ 69.26$

336 8/1/2041 25,812.70$ 1,067.54$ -$ 1,067.54$ 1,000.86$ 66.68$

337 9/1/2041 24,811.84$ 1,067.54$ -$ 1,067.54$ 1,003.44$ 64.10$

338 10/1/2041 23,808.40$ 1,067.54$ -$ 1,067.54$ 1,006.04$ 61.51$

339 11/1/2041 22,802.36$ 1,067.54$ -$ 1,067.54$ 1,008.63$ 58.91$

340 12/1/2041 21,793.73$ 1,067.54$ -$ 1,067.54$ 1,011.24$ 56.30$

341 1/1/2042 20,782.49$ 1,067.54$ -$ 1,067.54$ 1,013.85$ 53.69$

342 2/1/2042 19,768.64$ 1,067.54$ -$ 1,067.54$ 1,016.47$ 51.07$

343 3/1/2042 18,752.16$ 1,067.54$ -$ 1,067.54$ 1,019.10$ 48.44$


138/150

Pmt.


Scheduled


344 4/1/2042 17,733.07$ 1,067.54$ -$ 1,067.54$ 1,021.73$ 45.81$

345 5/1/2042 16,711.34$ 1,067.54$ -$ 1,067.54$ 1,024.37$ 43.17$

346 6/1/2042 15,686.97$ 1,067.54$ -$ 1,067.54$ 1,027.02$ 40.52$

347 7/1/2042 14,659.95$ 1,067.54$ -$ 1,067.54$ 1,029.67$ 37.87$

348 8/1/2042 13,630.28$ 1,067.54$ -$ 1,067.54$ 1,032.33$ 35.21$

349 9/1/2042 12,597.95$ 1,067.54$ -$ 1,067.54$ 1,035.00$ 32.54$

350 10/1/2042 11,562.95$ 1,067.54$ -$ 1,067.54$ 1,037.67$ 29.87$

351 11/1/2042 10,525.28$ 1,067.54$ -$ 1,067.54$ 1,040.35$ 27.19$

352 12/1/2042 9,484.93$ 1,067.54$ -$ 1,067.54$ 1,043.04$ 24.50$ 353 1/1/2043 8,441.90$ 1,067.54$ -$ 1,067.54$ 1,045.73$ 21.81$

354 2/1/2043 7,396.16$ 1,067.54$ -$ 1,067.54$ 1,048.43$ 19.11$

355 3/1/2043 6,347.73$ 1,067.54$ -$ 1,067.54$ 1,051.14$ 16.40$

356 4/1/2043 5,296.59$ 1,067.54$ -$ 1,067.54$ 1,053.86$ 13.68$

357 5/1/2043 4,242.73$ 1,067.54$ -$ 1,067.54$ 1,056.58$ 10.96$

358 6/1/2043 3,186.15$ 1,067.54$ -$ 1,067.54$ 1,059.31$ 8.23$

359 7/1/2043 2,126.84$ 1,067.54$ -$ 1,067.54$ 1,062.05$ 5.49$

360 8/1/2043 1,064.79$ 1,067.54$ -$ 1,064.79$ 1,062.04$ 2.75$


139/150

1,067.54$

360

360

-$

134,314.76$

Cumulative Interest

645.83$

1,290.58$

1,934.23$

2,576.79$

3,218.24$

3,858.60$

4,497.86$

5,136.01$

5,773.04$

6,408.97$ 7,043.78$

7,677.48$

8,310.05$

8,941.50$

9,571.82$

10,201.01$

10,829.08$

11,456.00$

12,081.79$

12,706.43$

13,329.94$

13,952.29$

14,573.50$

15,193.55$

15,812.44$

16,430.18$

17,046.76$

17,662.17$

18,276.41$

18,889.48$

19,501.37$

20,112.09$

20,721.63$

21,329.99$

21,937.16$

22,543.14$

23,147.93$

Loan summary


140/150

Cumulative Interest

23,751.52$

24,353.92$

24,955.11$

25,555.10$

26,153.88$

26,751.45$

27,347.80$

27,942.94$

28,536.86$29,129.55$

29,721.02$

30,311.26$

30,900.26$

31,488.03$

32,074.56$

32,659.85$

33,243.89$

33,826.68$

34,408.22$

34,988.50$

35,567.53$

36,145.29$

36,721.79$

37,297.01$37,870.97$

38,443.65$

39,015.06$

39,585.18$

40,154.02$

40,721.57$

41,287.82$

41,852.79$

42,416.45$

42,978.81$

43,539.87$

44,099.62$

44,658.05$

45,215.18$

45,770.98$ 46,325.46$

46,878.62$

47,430.44$

47,980.94$

48,530.10$

49,077.92$

49,624.39$

50,169.52$

50,713.31$

51,255.73$

51,796.81$

52,336.52$


141/150

Cumulative Interest

52,874.87$

53,411.85$

53,947.46$

54,481.70$

55,014.55$

55,546.03$

56,076.12$

56,604.83$

57,132.14$57,658.06$

58,182.58$

58,705.69$

59,227.40$

59,747.70$

60,266.58$

60,784.05$

61,300.09$

61,814.72$

62,327.91$

62,839.67$

63,349.99$

63,858.88$

64,366.32$

64,872.32$65,376.86$

65,879.95$

66,381.59$

66,881.76$

67,380.46$

67,877.70$

68,373.46$

68,867.74$

69,360.55$

69,851.87$

70,341.70$

70,830.04$

71,316.88$

71,802.22$

72,286.06$ 72,768.39$

73,249.21$

73,728.51$

74,206.29$

74,682.55$

75,157.28$

75,630.48$

76,102.15$

76,572.27$

77,040.85$

77,507.89$

77,973.37$


142/150

Cumulative Interest

78,437.30$

78,899.67$

79,360.48$

79,819.71$

80,277.38$

80,733.47$

81,187.98$

81,640.91$

82,092.25$82,542.00$

82,990.15$

83,436.71$

83,881.65$

84,324.99$

84,766.72$

85,206.83$

85,645.32$

86,082.19$

86,517.42$

86,951.02$

87,382.99$

87,813.31$

88,241.99$

88,669.01$89,094.38$

89,518.10$

89,940.15$

90,360.53$

90,779.24$

91,196.27$

91,611.62$

92,025.29$

92,437.27$

92,847.56$

93,256.14$

93,663.03$

94,068.21$

94,471.68$

94,873.43$ 95,273.46$

95,671.77$

96,068.35$

96,463.19$

96,856.30$

97,247.67$

97,637.28$

98,025.15$

98,411.26$

98,795.61$

99,178.20$

99,559.02$


143/150

Cumulative Interest

99,938.06$

100,315.32$

100,690.81$

101,064.50$

101,436.40$

101,806.50$

102,174.80$

102,541.30$

102,905.98$103,268.85$

103,629.90$

103,989.12$

104,346.52$

104,702.08$

105,055.80$

105,407.67$

105,757.70$

106,105.87$

106,452.19$

106,796.64$

107,139.22$

107,479.93$

107,818.77$

108,155.72$108,490.78$

108,823.95$

109,155.23$

109,484.60$

109,812.06$

110,137.62$

110,461.25$

110,782.97$

111,102.75$

111,420.61$

111,736.53$

112,050.51$

112,362.54$

112,672.62$

112,980.74$ 113,286.90$

113,591.10$

113,893.32$

114,193.56$

114,491.83$

114,788.10$

115,082.38$

115,374.67$

115,664.95$

115,953.23$

116,239.49$

116,523.73$


144/150

Cumulative Interest

116,805.95$

117,086.14$

117,364.30$

117,640.42$

117,914.49$

118,186.51$

118,456.48$

118,724.39$

118,990.23$119,254.00$

119,515.70$

119,775.31$

120,032.84$

120,288.27$

120,541.61$

120,792.84$

121,041.96$

121,288.97$

121,533.86$

121,776.62$

122,017.26$

122,255.75$

122,492.11$

122,726.32$122,958.37$

123,188.27$

123,416.00$

123,641.57$

123,864.96$

124,086.16$

124,305.19$

124,522.02$

124,736.65$

124,949.08$

125,159.30$

125,367.30$

125,573.08$

125,776.64$

125,977.97$ 126,177.06$

126,373.90$

126,568.50$

126,760.84$

126,950.92$

127,138.73$

127,324.27$

127,507.53$

127,688.51$

127,867.20$

128,043.59$

128,217.68$


145/150

Cumulative Interest

128,389.46$

128,558.92$

128,726.07$

128,890.89$

129,053.38$

129,213.53$

129,371.34$

129,526.79$

129,679.89$129,830.63$

129,979.00$

130,124.99$

130,268.61$

130,409.83$

130,548.67$

130,685.10$

130,819.13$

130,950.75$

131,079.95$

131,206.73$

131,331.07$

131,452.98$

131,572.45$

131,689.47$131,804.03$

131,916.13$

132,025.76$

132,132.92$

132,237.59$

132,339.78$

132,439.48$

132,536.67$

132,631.36$

132,723.54$

132,813.19$

132,900.32$

132,984.92$

133,066.97$

133,146.48$ 133,223.44$

133,297.84$

133,369.68$

133,438.94$

133,505.62$

133,569.72$

133,631.22$

133,690.13$

133,746.43$

133,800.12$

133,851.19$

133,899.63$


146/150

Cumulative Interest

133,945.44$

133,988.61$

134,029.13$

134,067.01$

134,102.22$

134,134.76$

134,164.63$

134,191.82$

134,216.33$134,238.13$

134,257.24$

134,273.64$

134,287.32$

134,298.28$

134,306.51$

134,312.01$

134,314.76$


147/150

Chapter 4 - Master it!

Years until retirement: 30

Amount to withdraw each year: 90,000$

Years to withdraw in retirement: 20$

Interest rate: 8%

a.

b.

c.

Employer's annual contribution: 1,500$

Years until trust fund distribution: 20

Amount of trust fund distribution: 25,000$

Suppose your friend's employer will contribute to the account each year as part of th

a family trust several years from now. What amount must she deposit annually now

Excel is a tool for solving problems, but with many time value of money problems, y

This is a classic retirement problem. A friend is celebrating her birthday and wants to

retirement and retirement spending goals:

Because your friend is planning ahead, the first withdrawal will not take place until o

for her retirement fund.

If she starts making these deposits in one year and makes her last deposit on the day

withdrawals at retirement?

Suppose your friend has just inherited a large sum of money. Rather than making eq

cover her retirement needs. What amount does she have to deposit today?


148/150

e company's profit sharing plan. In addition, your friend expects a distribution from

to be able to make the desired withdrawals at retirement?

u may still need to draw a time line.

start saving for her anticipated retirement. She has the following years to

ne year after she retires. She wants to make equal annual deposits into her account

she retires, what amount must she deposit annually to be able to make the desired

al annual payments, she has decided to make one lump sum deposit today to


149/150

Master it! Solution

Amount needed at retirement:

a.

Amount to save each year:

b.

Lump sum deposited today:

c.

Value of employer's contribution at retirement:

Value of trust fund at retirement:

Amount to save each year now:

In order to answer any of these questions, first we need to know how much your frie

each of the parts of the problem, we will solve for this amount now, which will be:

The amount your friend must save each year to fund her retirement is:

The lump sum your friend must deposit today to fund her retirement is:

To find the amount of the annual deposit now, it is easier to break down the compo

deposit, we get:


150/150

nd will need when she is ready to retire. Since this amount will be the same for

ents of the problem. Doing so for each of the following to find your friend's annual

core chapter 04 excel master 4th edition student

Documents