1. STAGE 3 • Stage 2: relative information • Table number in source • Presentation all tied together • My e-mail from stage 2!! Stapled to the top. • Outside info / 3 tables • Peer Evals

2. Credit Cards

3. Amortization Tables Fill-in headings across in the first row. (Type "Month in cell A1, Beginning Balance in cell B1, etc…)

4. Month and Loan Amount • Fill-in the total number of months going down (type in 0 and 1 then select both numbers and fill down) to 60 months • Type in loan amount (2000.00) in cell F2.  This is the only cell (besides the headings and the months) that doesn't have a formula. 

5. Beginning Balance Each month you will pay off a bit of your balance. The beginning balance each month, is your balance that month before your payment. In cell B3 type "= F2“

6. Payment • How much you pay each month!!

7. Payment option 1 • You have to decide • Type in a number for payment • P & I

8. Monthly interest • Money that the bank makes • The Annual Percentage Rate divided by 12 times the Beginning Balance • We’ll say for this credit card … 15% APR • Interest = (.15/12)*B3

9. “Principal” • Amount that goes toward paying off your balance!! • Principal = Payment – interest amount • Principal = C3 – D3

10. Ending Balance • Ending Balance = Beginning balance minus the principal you paid • Ending balance = B3-E3

11. Payment option 2 Minimum payment: • Percent of Balance OR • Some minimum dollar amount • Payment = MAX(Balance*some percent, 25) • Payment = MAX(B3*.02, 25)

12. Payment option 3 • Whatever it takes to pay it off in certain time • =PMT(interest/12, # of payments, - Beginning balance) • So if you bought a purse for $2000, wanted to pay it off in 5 years making monthly payments and your credit card’s annual percentage rate is 15%.... • =PMT(.15/12, 60, -2000)