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The interest rate of the loan that they have access to J12 = 4.92% p.a. Max...

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Finance

The interest rate of the loan that they have access to J12 =4.92% p.a. Max repayment of $3000 per month for months 1 to 36 Maxrepayment of $1800 per month for months 37 to 96 Max Repayment of$1500 per month for months 97 to 120 A) Assuming they make themaximum payments that they have budgeted for, illustrate the cashflows associated with the loan as a fully labeled timeline diagram.(Assume the first repayment occurs one period after they take outthe loan.) B) By breaking this cash flow into three simpleannuities, determine the maximum amount that Kim and Lee can borrowif they are to pay off the loan in ten years. C) Assuming that Kimand Lee borrow the maximum amount that they can afford to pay backin ten years, construct an amortization table showing the lastthree payments.

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Monthly interest rate49212041Present value of first 36 payment is given belowHence for first set    See Answer
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