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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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