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A company seeks to receive a bank loan in order to develop a 4000 000 euros investment project for a period of 3 years. The

A company seeks to receive a bank loan in order to develop a 4000 000 euros investment project for a period of 3 years. The loan conditions are the following:

  • A fixed interest rate of 6% per year paid annually;
  • The loan is repaid using the bellow methodsa.
  • a. Equal principal payments;b.
  • b. Constant annuity (equal total payments);
  • c. Interest-only (final) payment.
  • Fill in the amortization schedule for each of the three bank loan reimbursement methods.

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