Amortization schedule help

[jenniedepue]

I need help with a math problem. Here is the question.

How do I prepare an amortization schedule for the first 3 months on a loan of $18000. monthly payment of $118. at 6% a year.

Number Interest Principle Balance

1.

2.

3.

Can you tell me how to work this problem out?

Thank You,
Peteriece

 

[TchrWill]

I need help with a math problem. Here is the question.

How do I prepare an amortization schedule for the first 3 months on a loan of $18000. monthly payment of $118. at 6% a year.

Monthly interest rate = .06/12 = .005.
.005x18000 = $90 interest for the first month
Mortgage reduction = 118 - 90 = $28.00.
Mortgage reduced to $17,972
.005x17,972 = $89.86
Mortgage reduced by $28.14
Mortgage reduced to $17,950.86
.005x17,950.86 = $89.75
Mortgage reduced by $28.25
Mortgage reduced to $17,922.61

Number Interest Principle Balance
Due Reduction Due
1...................$90...................$28.................$17,972

2.................$89.86...............$28.14..............$17,950.86

3.................$89.75...............$28.25.............$17,922.6

 

[jenniedepue]

Thank You

It was very helpful