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Amortization Graph Analysis

(*)(*)(*)(*)( ) ( 3.7, 402 students)
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  • Price per ClassroomFREE
  • Grade Levels 7, 8, 9, 10
  • Topics Home Loan
  • Duration 15 Minutes
  • Auto Scored? Yes
  • Teacher Evaluation Needed? No

Activity Description

Students will adjust the interest rate slider and loan duration slider to see how the amortization graph changes. They will understand that, in the initial months, a huge portion of their monthly payment goes to interest. The graph shows the interest and principal portion of every month's payment. Students will adjust the interest rate slider and loan duration slider to see how the interest and principal portion in the graph change.

Learning Objective

Students will understand that a major portion of their monthly payment goes as the interest in the initial months of the loan payment and as they make more payments, the contribution to the principal portion increases.

Teacher Tips

Included with the activity, you can view the tips to clarify student's doubts or to evaluate answers (for a teacher scored worksheet).
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  • PriceFREE
  • Grade Levels 7, 8, 9, 10
  • Topics Home Loan
  • Duration 15 Minutes
  • Auto Scored? Yes
  • Teacher Evaluation Needed? No