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a. Mr. Peter borrowed money amounting to $10,000.00 from Captec bank to finance his Livestock farming business. The Banks interest rate is at 24% with
a. Mr. Peter borrowed money amounting to $10,000.00 from Captec bank to finance his Livestock farming business. The Banks interest rate is at 24% with the loan to be repaid in 4 years. i. Calculate the loan repayment using Equal Total Payment Loan Principal method. (10 Marks) b. Given that Mr. Peters net operating income before depreciation of his farm building is $42,000 annually and the overall capitalization rate for this type of property is 13%. Calculate the value of his property?
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