Estimate the loss to the bank - restructure the loan, Mathematics

Your bank has a loan outstanding with a current balance of $1,000,000 that is payable in quarterly equal instalments of $49,924.  This loan has another 6 years to maturity.  The borrower has run into financial problems and has requested a reduction of the quarterly instalments to $40,000.  The cost of money to the bank is 6% (with quarterly compounding).   Estimate the loss to the bank if it agrees to restructure the loan as requested by the client.

ANSWER:

Posted Date: 2/28/2013 4:23:45 AM | Location : United States







Related Discussions:- Estimate the loss to the bank - restructure the loan, Assignment Help, Ask Question on Estimate the loss to the bank - restructure the loan, Get Answer, Expert's Help, Estimate the loss to the bank - restructure the loan Discussions

Write discussion on Estimate the loss to the bank - restructure the loan
Your posts are moderated
Related Questions
A 90% acid solution is mixed with a 97% acid solution to obtain 21 litres of a 95% solution. Findout the quantity of every solutions to get the resultant mixture.


Differences of Squares (and other even powers) ? A square monomial is a monomial which is the square of another monomial. Here are some examples: 25 is the square of 5 x 2 i

A ?ight from Pittsburgh to Los Angeles took 5 hours and covered 3,060 miles. What was the plane's average speed? Find out the rate at that Susan is traveling through dividing h

What percent of the figure below is shaded? Break the rectangle into eighths as shown below. The shaded part is 6/8 or 3/4 ; 3/4 is 75%.

If the points for a right angle triangle are XYZ where do I mark the points?


A jet flew at an average speed of 480mph from Point X to Point Y. Because of head winds, the jet averaged only 440mph on the return trip, and the return trip took 25 minutes longer

Find the coordinates of the point P which is three -fourth of the way from A (3, 1) to B (-2, 5).

An observation was made concerning reading abilities of males and females. The observation leads to a conclusion that females are faster readers than males. The observation was bas