McDonalds has a $45,000 franchise fee. The cost/investment required to own and operate this franchise is approximately between $1,314,500 and $2,306,500 (Goetz, 2022). The range could be concluded as around 1,810,500.

1. Assume a 5 year loan period at 5% interest rate per year and provide the following:

a. Total Amount Borrowed

b. Monthly payment.

c. Total interest cost for the life of the loan.

d. Total amount of payments for the life of the loan.

2. Assume a 10 year loan period at 6% interest rate per year and provide the following:

a. Total Amount Borrowed

b. Monthly payment.

c. Total interest cost for the life of the loan.

d. Total amount of payments for the life of the loan.