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PLEASE USE EXCEL thanks!!! A $750,000 loan is to be repaid over 8-years. The interest rate on the loan i (4) = 6.5%. Set up

PLEASE USE EXCEL thanks!!!

  1. A $750,000 loan is to be repaid over 8-years. The interest rate on the loan i(4) = 6.5%.
    1. Set up a repayment schedule assuming the loan is amortized with quarterly payments over the 8 years. (3 marks)
    2. Assume the loan is paid back using the sinking fund method and assume a sinking fund can earn i(4) = 4.2%. Set up a sinking fund schedule similar to the one shown on page 186 of the textbook, but you also need to include a column for the quarterly expense and the book value. (3 marks)
    3. Graph the outstanding balance of the amortized loan and the book value of the sinking fund loan on the same graph. (2 marks)

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A $750,000 loan is to be repaid over 8-years. The interest rate on the loan i(4) = 6.5%. | (a) Set up a repayment schedule assuming the loan is amortized with quarterly payments over the 8 years. (3 marks) (b) Assume the loan is paid back using the sinking fund method and assume a sinking fund can earn (4) = 4.2%. Set up a sinking fund schedule similar to the one shown on page 186 of the textbook, but you also need to include a column for the quarterly expense and the book value. (3 marks) (c) Graph the outstanding balance of the amortized loan and the book value of the sinking fund loan on the same graph. (2 marks)

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