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
how you know that your first quadrilateral is an isosceles trapezoid

find the modulus Z=(2-i)(5+i12)/(1+i2)^3

What is Trigonometric Ratios ? Trigonometry, a branch of mathematics, is based on the ratios known as sine, cosine, and tangent. Trigonometric ratios apply only to right trian

I need help on how to do real word problm with unit rates.

The two sides of a triangle are 17 cm and 28 cm long, and the length of the median drawn to the third side is equal to 19.5 cm. Find the distance from an endpoint of this median to

1.find lim sup Ek and liminf Ek of Ek=[(-(1/k),1] for k odd and liminf Ek=[(-1,(1/k)] for k even.  2.Show that the set E = {x in R^2 : x1, x2 in Q} is dense in R^2.  3.let r>0 an

Eddie mkes $15.75 per hour. Estimate how much Eddie will make per year if he works 40 hours per week and 50 weeks per year.

Graph y = cos (x) Solution: There actually isn't a whole lot to this one.  Given the graph for -4 ? ≤ x ≤ 4 ? . Note that we can put all values of x in cosine (that wo

Hi, I''m looking for assistance/solutions to individual questions. I''ve already answered them but seek confirmation my answers are correct. I don''t want answers to a complete e

"Inside function" and "outside function : Generally we don't actually do all the composition stuff in using the Chain Rule. That can get little complexes and actually obscures the