You purchase a home and have a $200,000 mortgage for 20 years at 5%. Utilize an amortization schedule.
What are the periodic annual payment required for the mortgage?
What are the interest payment for the first year?
What is the first year principal repayment
What is the balance owed at the end of the first year?
What are the interest paid on the principal repayment for the second year ?
What is the balance owed at the end of the second year ?
Why did the interest paid on the principal repayment change in the second year?