ACCT3402 SECTION A Instruction: Complete ALL questions from this section. Question 1 A-One Hundred-Thousand dollar ($100,000) loan obtained today is to be repaid in equal annual amounts over the next five years starting at the end of this year. The annual interest rate is 8% compounded annually. A. What is the annual payment that will completely amortize the loan? marks) B. Prepare the amortization schedule. (10 marks) C. How much interest is paid over the life of the loan? (3 marks) What percentage of payment made at the end of year 4 is repayment of the loan? (3 marks) (Total 20 marks) END OF SECTION A The Council of Community Colleges of Jamaica 22/01 Page 2 ACCT3402 SECTION B Instruction: Complete ALL questions from this section. Question 1 Lake Inc is faced with several investment opportunities. The projects are mutually exclusive, and he is faced with limited capital. Consider the following cash flows relating to the projects: Year Machine A 0 $ (120 000) Machine B $ (105 000)