A supplier supplied a customer with goods valued at GHC 50,000 on 1st January 2020 on credit terms. The buying organisation sets the annual rate charged for borrowing by the supplier (the annualized percentage rate- APR) at 20% compounded monthly, and the supplier wants to be paid 30days earlier (30days acceleration of payments) than the original net due date. However in order for the supplier to raise capital to run the business, he has agreed to be paid by the customer's bankers while the customer in turn pays the bank on the due date. To repay the bank on the October 31^st2020, the customer has decided to set aside equal sums of money and invest in a fund which earns 24% per annum rate of interest compounded monthly in advance.

a)What is the incremental discount charged by the bank?

b)How much will the buyer pay the bank on June 30^th2000?

c)Determine the equal instalments the customer has to make into the fund

d)find a sinking fund schedule

e)What will be the equal instalments when the buyer makes payment in arrears

Construct a sinking fund schedule