Question
Christine would like to take a loan. The loan carries a 1% monthly interest rate. Christine can only pay back $800 every month. 1. What
Christine would like to take a loan. The loan carries a 1% monthly interest rate. Christine can only pay back $800 every month.
1. What is the highest loan Christine can take? (since the loan amount is increasing with maturity, answer assuming the loan is perpetual)
2. What is the highest loan Chrisitne can take assuming the monthly interest rate on the loan is 0.75%?
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HBR Guide To Finance Basics For Managers
Authors: Harvard Business Review
1st Edition
1422187306, 978-1422187302
