Required (using attached excel template)a) For each loan prepare an amortization schedule for the first four payments. Show the reduction in principal and the interest expense for each payment.Chapter 9:Problem 1:Account for notes payable with periodic payments of principal and interest.The Graniteville Company engaged in the following transactions related to long-term liabilities during 2006.1) On July 1 the company borrowed $50000 for a new piece of office equipment. The loan is to be repaid in equal annual payments of $8701 at the end of the next 8 years (beginning June 30 2007); and the interest rate Graniteville is paying for this loan is 8%.2) On October 1 the company borrowed $200000 from Shell Point Local Bank at an interest rateb) What total interest expense related to these two loans would Graniteville Company show on its income statement for the year ended December 31 2006?c) How much interest payable would Graniteville show on its balance sheet at December 31 2006?Student terms: