Practice Problems

1) A loan of Rs. 10, 00, 00,000 is to be repaid in five equal annual installments. If the loan carries a
rate of interest of 14% P.A. what is the amount of each installment. Prepare the loan
amortization schedule for the same.
2) The loan above has a moratorium of 1 year. Prepare loan amortization table in this case.
3) If the loan has to be repaid in the form of a bullet in the last year what will be the amount paid.
4) If the same loan has to be paid in the form of Balloon with 5% in year 1, 10 % in year 2, 15%
year 3, 25% year 4 and 45% in year 5 prepare the repayment schedule.