Answer:
Why does the monthly payment plan have less total cash outflow each year?
Total paym. capital Interest
Q. Totales payments 32.362,50 25.000,00 7.362,50
AnnulaTotales payments 33.040,06 25.000,00 8.040,06
Compare the annual cash outflows of the two payments.
Total paym. capital Interest
Year 1 Quarterly 4.623,21 2.826,48 1.796,74
Year 1 Annual 4.720,01 2.845,01 1.875,00
Year 2 Quarterly 4.623,21 3.044,50 1.578,71
Year 2 Annual 4.720,01 3.058,38 1.661,62
Year 3 Quarterly 4.623,21 3.279,34 1.343,87
Year 3 Annual 4.720,01 3.287,76 1.432,25
Year 4 Quarterly 4.623,21 3.532,30 1.090,92
Year 4 Annual 4.720,01 3.534,34 1.185,66
Year 5 Quarterly 4.623,21 3.804,76 818,45
Year 5 Annual 4.720,01 3.799,42 920,59
Year 6 Quarterly 4.623,21 4.098,25 524,97
Year 6 Annual 4.720,01 4.084,38 635,63
Year 7 Quarterly 4.623,21 4.414,37 208,85
Year 7 Annual 4.720,01 4.390,71 329,30
Explanation:
Period Payment Capital Interest
1 1.155,80 687,05 468,75
2 1.155,80 699,94 455,87
3 1.155,80 713,06 442,74
4 1.155,80 726,43 429,37
5 1.155,80 740,05 415,75
6 1.155,80 753,93 401,88
7 1.155,80 768,06 387,74
8 1.155,80 782,46 373,34
9 1.155,80 797,13 358,67
10 1.155,80 812,08 343,72
11 1.155,80 827,31 328,50
12 1.155,80 842,82 312,98
13 1.155,80 858,62 297,18
14 1.155,80 874,72 281,08
15 1.155,80 891,12 264,68
16 1.155,80 907,83 247,97
17 1.155,80 924,85 230,95
18 1.155,80 942,19 213,61
19 1.155,80 959,86 195,94
20 1.155,80 977,86 177,95
21 1.155,80 996,19 159,61
22 1.155,80 1.014,87 140,93
23 1.155,80 1.033,90 121,90
24 1.155,80 1.053,29 102,52
25 1.155,80 1.073,03 82,77
26 1.155,80 1.093,15 62,65
27 1.155,80 1.113,65 42,15
28 1.155,80 1.134,53 21,27
Totales payments 32.362,50 25.000,00 7.362,50
Period Payment Capital Interest
1 4.720,01 2.845,01 1.875,00
2 4.720,01 3.058,38 1.661,62
3 4.720,01 3.287,76 1.432,25
4 4.720,01 3.534,34 1.185,66
5 4.720,01 3.799,42 920,59
6 4.720,01 4.084,38 635,63
7 4.720,01 4.390,71 329,30
Totales payments 33.040,06 25.000,00 8.040,06
