Your company is planning on purchasing a new stadium using a loan. The stadium price is $2,500,000 and
they plan to put $275,000 as a down payment. They have arranged to pay the loan off over 10 years using
monthly payments due at the beginning of the month. The Bank of America is ready to offer them a loan at
an APR of 3.75%
Part One:
1. In the worksheet called “Data Tables,” use the information above to fill in cells C3:C7, and
C10:C12.
2. Use PMT, CUMPRINC and CUMIPMT financial functions to fill in cells C12:C14. Have the
latter three cells display as positive numbers in “Accounting” format with two decimal places.
3. You are curious to see what would happen if interest rates rise on this purchase. Construct a onevariable
data table in the range E4:H19. In the E5:E19 column, use Autofill to increase the annual
interest rate in 0.25% increments, starting at 3.5% in cell E5. (i.e., 3.5% to 3.75% to 4.00% and
so forth) and display in “Percent” format with 2 decimal places.