Question
You are a manager of FI that has made a four-year $15 million loan that pays annual interest of 7 per cent. The principal is
You are a manager of FI that has made a four-year $15 million loan that pays annual interest of 7 per cent. The principal is due at the end of the third year.
One possible strategy is to sell this loan with recourse at an interest rate of 9 per cent. What price should FI receive for this loan?
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Practical financial management
Authors: William r. Lasher
5th Edition
0324422636, 978-0324422634
