Exactly 20 months ago, the bank granted Mary a loan of R 90,000,000 at an interest rate of 11.35% p.a. compounded monthly. The bank stipulated that the loan:
Must be repaid over 20 years
Must be repaid by means of monthly repayments of R 8,520, starting one month after the loan was granted.
1. How much did Mary owe immediately after making her 16th repayment?
2. Due to financial difficulties as a result of Covid-19, Mary missed the 17ᵗʰ, 18ᵗʰ, and 19ᵗʰ payments. She was able to make payments from the end of the 20ᵗʰ month onwards. Calculate Mary's increased monthly repayment to settle the loan in the original 20 years as stipulated by the bank.