a. Ms. Fui Pin is planning to buy a new car 7 years from now. For this purpose, she will deposit RM10,500 at the beginning of each year for the first 4 years in the savings account of a commercial bank. Her investment in the savings account will earn a return of 9% compounded annually. How much will Ms. Fui Pin have after 7 years to buy the car? (5 marks)

b. Mr. Iman borrowed RM15,000 at a 14 per cent annual rate of interest to be repaid over three years. The loan is amortized by three equal annual end-of-year payments.

i. Calculate the annual end-of-year loan payment. (1 mark)

ii. Prepare a loan amortization schedule, showing the interest and principal breakdown of each of the three loan payments. (4 marks)