. Your company is opening a bank line of credit. The facility amount is $10MM with $3MM func he interest rate is 5% per year based on a three year commitment. The unused line fee is 0. he commitment fee is 0.75% and the closing fee is 1%. What is the expected annual return? . 11.3% 5.7.4% . 19.1% ). 7.1%
. Your company is opening a bank line of credit. The facility amount is $10MM with $3MM func he interest rate is 5% per year based on a three year commitment. The unused line fee is 0. he commitment fee is 0.75% and the closing fee is 1%. What is the expected annual return? . 11.3% 5.7.4% . 19.1% ). 7.1%
Intermediate Financial Management (MindTap Course List)
13th Edition
ISBN:9781337395083
Author:Eugene F. Brigham, Phillip R. Daves
Publisher:Eugene F. Brigham, Phillip R. Daves
Chapter22: Providing And Obtaining Credit
Section: Chapter Questions
Problem 2P: Cost of Bank Loan Mary Jones recently obtained an equipment loan from a local bank. The loan is for...
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