Ashley wanted to save up for deposit of $60,000 to buy a house in 5-year time. Her first saving will start at the end of the year. The bank will pay 8% annual interests. Upon gathering the amount of deposit needed, Ashley will take up another loan of $150,000 from the bank with 4% nominal rate. In order for Ashley to own her dream house, find:

I. What is the annual contribution Ashley needs to make for her $60,000 deposits? (4 marks)

II. If the 5 contributions were made at the beginning of the period, how much money would the deposit be? (3 marks)

III. If the 5 contributions were made semi-annually, how much money would the deposit be? (3 marks)

IV. Prepare an amortisation schedule of the loan for Ashley.