Mr Sakuran borrow RM50,000 that he will repay within the period of five years. He is

being charged with an interest of 6 percent per year. Based on this information, answer

the following questions:

(a) Prepare a amortization schedule for Mr Sakuran if he is paying an equal annual

payment throughout the period. (15 marks)

(b) Prepare another amortization schedule for Mr Sakuran if the bank requires his

loan to be reduce by same principal amount annually. (10 marks)