Calculate the loan amount and the outstanding loan balance

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Reference no: EM131902049

1)Emily takes out a 4-year loan that she repays using the amortization method. She makes monthly payments at a nominal annual interest rate of 6% compounded monthly. The first payment is $60 and is to be paid one month from the date of the loan. Each succeeding monthly payment will be 1% larger than the prior payment.

2)Logan takes out a 7-year loan L that he repays using the amortization method. He makes monthly payments at a nominal annual interest rate of 6% compounded monthly. The first payment is $600 and is to be paid one month from the date of the loan. Each succeeding monthly payment will be 1% lower than the prior payment. Calculate the loan amount and the outstanding loan balance after the 44 th payment.

Reference no: EM131902049

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