Iris plc borrows £50m at 9.5 per cent from Westlloyds bank for five years. What cash flows will the firm have to find if the interest and principal are paid in the following ways?
a. All interest and capital is paid at the end of the period.
b. Interest only is paid for each of the years (at the year-ends); all principal is paid at the end.
c. £10m of the capital plus annual interest is paid on each anniversary date.