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Your company has agreed to a $ 4 3 0 million fixed - commitment line of credit. The loan agreement calls for your company to
Your company has agreed to a $ million fixedcommitment line of credit. The loan agreement calls for your company to pay percent per quarter on any funds borrowed and maintain a percent compensating balance on any funds borrowed at zero percent interest. What is the effective annual interest rate on this line of credit?
Your company has agreed to a $ million fixedcommitment line of credit. The loan agreement calls for your company to pay percent per quarter on any funds borrowed and maintain a percent compensating balance on any funds borrowed at zero percent interest. What is the effective annual interest rate on this line of credit?
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Financial Management And Policy
Authors: James C. Van Horne
11th Edition
0137512236, 9780137512232
