Question 1 - Interest & loan Sue will need $120,000 to refurbish her house at the corner of a main road into a cake shop in 5 years. She has a saving account which earn 3.47% p.a, compounding quarterly and she is able to deposit $800 into that account at the end of each month for 5 years. a) Will Sue have enough money after 5 years? If not, how much is in short? Show all calculations. (4 marks) b) Even if Sue may not have enough money, she will consider taking a 9-year loan for the required amount because she is keen to have her own business. She talked to the lenders from her local Bank and Credit Union regarding loan options. () The local bank charges 4.35% per year compounding biannually and requires biannually repayments. Calculate the minimum biannually repayment for both principal and interest that Sue would have to make on this loan. If you wish, use EXCEL to calculate the biannually repayment. (4 marks) EXCEL Instructions: Refer to Topic 4 in the EXCEL booklet for instructions on how to use financial functions to make annuity calculations. You need to show formulas used, do not simply type in values. Therefore, you need to show the formulas in your spreadsheet in this form B4-B3*$C$1. (ii) Use EXCEL to set up an Amortisation Schedule for the loan. Include your completed EXCEL amortisation schedule. The schedule should include the amount of principal and the amount of interest that comprise each payment until the loan is paid off at the end of its term. (7 marks) EXCEL Instructions: Refer to your amortisation notes from Week 3 and the corresponding EXCEL spreadsheet available on the course website, which you can modify to help you create the amortisation schedule for this question. Be sure to add your initials to all column names. An example for the EXCEL file configurations is provided below. Failure to meet this requirement will result in a penalty (marks deduction)