CHARITY AND SPONSOR ADS
Shopping Cart
0 items
 

A commercial loan extended to CIBER-LAND Corporation for $2.5 million assesses an interest charge of $350,000 up front

A commercial loan extended to CIBER-LAND Corporation for $2.5 million assesses an interest charge of $350,000 up front
Click to enlarge
Price: $4.99
Availability: In Stock
Model: A
Average Rating: 5 out of 5 Stars!

INSTANT DOWNLOAD

Solution Guide / Answer Key:

FINANCE

FIN 350 Module 2: Assignments

Chapter 6 Problems and Issues 9

9. A commercial loan extended to CIBER-LAND Corporation for $2.5 million assesses an interest charge of $350,000 up front. Using the discount method of calculating loan rates, what is the effective interest rate on this loan? Suppose that instead of deducting the interest owed up front, the company’s lender agrees to extend the full $2.5 million and add the amount of interest owed to the face of CIBER’s note. What, then is the loan’s effective interest rate?

 

FILE: MS WORD

Write Review
Your Name:


Your Review: Note: HTML is not translated!

Rating: Bad            Good

Enter the code in the box below:

There are no additional images for this product.