Show full workings.

$2$ Where assumptions have been made, detail assumptions made and why the assumption was made.

$3$ You may need to obtain information online, you are therefore welcome to use the internet to source such information. Document the source used, where relevant.

$4$ The question relates to the financial year ended $28$ February $2023.$

Question:

$1$ Prepare the amortisation schedule for the external property loan for the full financial year,.i$.$e$.1$ March $2022-28$ February $2023.$

$2$ Prepare the journals required to be processed for the month of February $2023.$

$3$ What will the final settlement value be and on what date?

Facts:

$1$ Terms of the loan:

$1$ Interest is compounded monthly based on the South African Prime interest rate less $25$bps$.$

$2$ Interest is paid at the end of each quarter: March, June, September, December.

$3$ Maturity of the loan is $31$ July $2023.$

$4$ Early settlement penalty will be incurred at R$10,000$ per day.

$2$ Opening balance of the loan R$821,458,000$

$3$ Transactions during the financial period.

$1$ R$2,000,000$ was drawn from the loan on $16$ June $2022.$

$2$ R$4,000,000$ was drawn on $8$ December $2022.$

$3$ On $1$ February $2023,$ notice was sent to the external funders indicating that the facility will be fully settled on the next interest payment date.