Liwazi Ltd, borrowed a 4-year loan of Kshs. 30,000,000 at 15% interest rate from Juja bank....

 

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Liwazi Ltd, borrowed a 4-year loan of Kshs. 30,000,000 at 15% interest rate from Juja bank. Required: i. If the bank requires 4 equal end of year repayments, prepare Liwazi's loan repayment schedule ii. From the schedule prepared in (i) above indicate the following: Annual instalment every year, 3rd year outstanding balance and 4th year interest amount Liwazi Ltd, borrowed a 4-year loan of Kshs. 30,000,000 at 15% interest rate from Juja bank. Required: i. If the bank requires 4 equal end of year repayments, prepare Liwazi's loan repayment schedule ii. From the schedule prepared in (i) above indicate the following: Annual instalment every year, 3rd year outstanding balance and 4th year interest amount

Answer rating: 100% (QA)

To prepare Liwazi Ltds loan repayment schedule we first need to calculate the annual installment amount and then we can create a repayment schedule fo... View the full answer