The Conejo Corp. borrows from its bank under an $8 million revolving credit arrangement. It pays a
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The Conejo Corp. borrows from its bank under an $8 million revolving credit arrangement. It pays a base rate of 9% on its outstanding loan plus a .25% commitment fee on the unused balance. The firm had borrowed $2 million going into April and borrowed an additional $4 million on April 11. No further borrowing or repayment was made during the month. Calculate Conejo’s interest charges for April.
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Interest monthly rate 912 75 multiply by 0075 20000...View the full answer
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