a loan of $100,000 is being cleared in 120 equal end of time period payments. th

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a) Since loan is being cleared by 120 equal end of time period payments therefore those equal payments=100000/120=$833.33 But this payment must also include the interest payment therefore Payment value of A at the end of each time period=833.33+10% of 100000 =$10,833.33 b) Balance immediately after 40th payment is made=100000-40*833.33 =$66,666.68 (this much to be paid along with the interest after every time period) c) 41st Payment would be=$10,833.33 in this interest is $10000 therefore fraction= 10,000/10833.33 =0.923 d) Remaining Balance immediately after 80th payment is made=100000-80*833.33 =$33,333.6 now this amount has to be paid in 20 equal periods payment there equal payments=33,333.6/20 =$1,666.68 therefore new payment value=$1,666.68+interest payment of $10,000 $11,666.68

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