A company has taken a steadily amortized loan of 3 250 000 € The loan term is 8 years with quarterly payments. The interest rate of the loan is the Euribor 12-month rate 0,757% + margin of 1,2% -points. Calculate the sum of interests they need to pay during the whole loan term. Amount of loan Annual interest rate Payments in a year Loan term (in years) Relative interest rate Number of payments Amortization ANSWER

A company has taken a steadily amortized loan of 3 250 000 € The loan term is 8 years with quarterly payments. The interest rate of the loan is the Euribor 12-month rate 0,757% + margin of 1,2% -points. Calculate the sum of interests they need to pay during the whole loan term. Amount of loan Annual interest rate Payments in a year Loan term (in years) Relative interest rate Number of payments Amortization ANSWER

Corporate Fin Focused Approach

5th Edition

ISBN:9781285660516

Author:EHRHARDT

Publisher:EHRHARDT

Chapter4: Time Value Of Money

Section4.17: Amortized Loans

Problem 1ST

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