Question

You borrow a 1 million dollars loan at 7% annual interest rate with 8 annual payments...

You borrow a 1 million dollars loan at 7% annual interest rate with 8 annual payments at the end of each year. Please show the amortization schedule.

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Answer #1

for calculating end of payments use the formula =PMT(7%,8,-1000000,0,0) = 167,467.76

Year Beg Balance Total Pmt Interest Principal Paid End Balance
1 1,000,000.00 167,467.76 70000.00 97,467.76 902,532.24
2 902,532.24 167,467.76 63177.26 104,290.51 798,241.73
3 798,241.73 167,467.76 55876.92 111,590.84 686,650.89
4 686,651 167,467.76 48065.56 119,402.20 567,248.69
5 567,249 167,467.76 39707.41 127,760.35 439,488.34
6 439,488 167,467.76 30764.18 136,703.58 302,784.76
7 302,785 167,467.76 21194.93 146,272.83 156,511.93
8 156,512 167,467.76 10955.83 156,511.93 0
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