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Part 2 (5 points) - Acme is also considering an alternative form of debt financing that includes a 2 -year period where the company is
Part 2 (5 points) - Acme is also considering an alternative form of debt financing that includes a 2 -year period where the company is only required to pay interest (ne prineipa payments). The entire length of term for the note remains the same ( 10 years) so the amortization period on the loan is actually 8 years ( 2 years of interest-only payments an then 8 years of principal and interest payments). The amount of the principal remains same at $7,500,000 and payments are still made at month-end. For this loan, however, the lender is going to charge an interest rate of 5.50% annualized. Develop an Amortization Schedule for this loan as well. LOAN AMORTIZATION
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