Chapter 18 Question 13 Input Area: $ Line of credit Interest rate Compensating balance b. Amount borrowed Months to repay 40,000,000 0.360% 4% 13,000,000 6 $ Output Area: a. Compensating balance amount Year end loan value Year end cash flow Amount you can use EAR b. Amount to borrow Total interest paid Chapter 18 Question 13 Input Area: $ Line of credit Interest rate Compensating balance b. Amount borrowed Months to repay 40,000,000 0.360% 4% 13,000,000 6 $ Output Area: a. Compensating balance amount Year end loan value Year end cash flow Amount you can use EAR b. Amount to borrow Total interest paid