Calculate your annual payments and the amortization


Problem

You decide to purchase a tractor for a net cost of $300,000. You finance this tractor for 5 years at 6.0% interest. You make one payment per year using equal principal payments. Calculate your annual payments and the amortization (payoff schedule). Is the total cost of this loan more or less than if you had used the equal total payments formula? Explain.

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Marketing Management: Calculate your annual payments and the amortization
Reference No:- TGS03342951

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