Question

Travis bought a new Corvette $100,000. He got a 60 month loan for $66700 at a nominal rate of 5.875% per year compounded monthly, with uniform monthly payments starting one month from the date of purchase. What were his monthly car payments? $

after 24 months how much would he still owe? $

He sold the car at the end of 36 months for $60,000. What was the payoff. $ (remember to add the last payment)

How much of his thirteenth payment was interest? $

How much of his thirteenth payment was equity? $

Answer 1

The repayment schedule is calculated below that will answer every question.

The monthly payment calculation is as follows

Monthly payment = P x r / (1 - ((1 + r) ^-n)) = $1285.62
Where,
P = Initial loan amount
r = rate of interest according to periods and intervals
n = number of periods

Rate of interest per period/month = 5.875 / 12 = 0.4895833%

Month	Payment	Interest	Principal	Balance
1	$1,285.62	$326.55	$959.07	$65,740.93
2	$1,285.62	$321.86	$963.77	$64,777.16
3	$1,285.62	$317.14	$968.49	$63,808.67
4	$1,285.62	$312.40	$973.23	$62,835.45
5	$1,285.62	$307.63	$977.99	$61,857.45
6	$1,285.62	$302.84	$982.78	$60,874.67
7	$1,285.62	$298.03	$987.59	$59,887.08
8	$1,285.62	$293.20	$992.43	$58,894.65
9	$1,285.62	$288.34	$997.29	$57,897.37
10	$1,285.62	$283.46	$1,002.17	$56,895.20
11	$1,285.62	$278.55	$1,007.08	$55,888.12
12	$1,285.62	$273.62	$1,012.01	$54,876.12
13	$1,285.62	$268.66	$1,016.96	$53,859.16
14	$1,285.62	$263.69	$1,021.94	$52,837.22
15	$1,285.62	$258.68	$1,026.94	$51,810.27
16	$1,285.62	$253.65	$1,031.97	$50,778.30
17	$1,285.62	$248.60	$1,037.02	$49,741.28
18	$1,285.62	$243.53	$1,042.10	$48,699.18
19	$1,285.62	$238.42	$1,047.20	$47,651.98
20	$1,285.62	$233.30	$1,052.33	$46,599.65
21	$1,285.62	$228.14	$1,057.48	$45,542.17
22	$1,285.62	$222.97	$1,062.66	$44,479.51
23	$1,285.62	$217.76	$1,067.86	$43,411.65
24	$1,285.62	$212.54	$1,073.09	$42,338.57
25	$1,285.62	$207.28	$1,078.34	$41,260.22
26	$1,285.62	$202.00	$1,083.62	$40,176.60
27	$1,285.62	$196.70	$1,088.93	$39,087.68
28	$1,285.62	$191.37	$1,094.26	$37,993.42
29	$1,285.62	$186.01	$1,099.62	$36,893.80
30	$1,285.62	$180.63	$1,105.00	$35,788.80
31	$1,285.62	$175.22	$1,110.41	$34,678.39
32	$1,285.62	$169.78	$1,115.84	$33,562.55
33	$1,285.62	$164.32	$1,121.31	$32,441.24
34	$1,285.62	$158.83	$1,126.80	$31,314.44
35	$1,285.62	$153.31	$1,132.31	$30,182.13
36	$1,285.62	$147.77	$1,137.86	$29,044.27
37	$1,285.62	$142.20	$1,143.43	$27,900.84
38	$1,285.62	$136.60	$1,149.03	$26,751.82
39	$1,285.62	$130.97	$1,154.65	$25,597.16
40	$1,285.62	$125.32	$1,160.31	$24,436.86
41	$1,285.62	$119.64	$1,165.99	$23,270.87
42	$1,285.62	$113.93	$1,171.69	$22,099.18
43	$1,285.62	$108.19	$1,177.43	$20,921.75
44	$1,285.62	$102.43	$1,183.20	$19,738.55
45	$1,285.62	$96.64	$1,188.99	$18,549.57
46	$1,285.62	$90.82	$1,194.81	$17,354.76
47	$1,285.62	$84.97	$1,200.66	$16,154.10
48	$1,285.62	$79.09	$1,206.54	$14,947.56
49	$1,285.62	$73.18	$1,212.44	$13,735.12
50	$1,285.62	$67.24	$1,218.38	$12,516.74
51	$1,285.62	$61.28	$1,224.34	$11,292.39
52	$1,285.62	$55.29	$1,230.34	$10,062.05
53	$1,285.62	$49.26	$1,236.36	$8,825.69
54	$1,285.62	$43.21	$1,242.42	$7,583.28
55	$1,285.62	$37.13	$1,248.50	$6,334.78
56	$1,285.62	$31.01	$1,254.61	$5,080.17
57	$1,285.62	$24.87	$1,260.75	$3,819.41
58	$1,285.62	$18.70	$1,266.93	$2,552.49
59	$1,285.62	$12.50	$1,273.13	$1,279.36
60	$1,285.62	$6.26	$1,279.36	$0.00