1. The problem asks: How does an amortization schedule help borrowers understand their loan repayment plan? 2. An amortization schedule is a table that breaks down each loan payment into two parts: the amount that goes toward the principal (the original loan amount) and the amount that goes toward interest. 3. It shows the borrower exactly how much of each payment reduces the loan balance and how much is paid in interest over time. 4. This helps borrowers see how their loan balance decreases with each payment and how the interest portion changes, usually decreasing as the principal is paid down. 5. It also helps borrowers plan their finances by showing the total interest paid over the life of the loan and the exact payoff date if payments are made as scheduled. 6. In summary, an amortization schedule provides a clear, detailed roadmap of loan repayment, making it easier for borrowers to understand and manage their debt.