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As the finance manager of a pipe manufacturing company you approach your bank to obtain a term loan so that the company can buy a new metal pressing machine. The bank offers your company a loan of $80,000 over a five-year period at a rate of interest of 6.40 per cent per annum, payable at the end of each month. Calculate the monthly loan instalment. c= monthly installment PV= present value of loan amount (80,000) i=12%/12=1% or 0.01 N=512=60.

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As the finance manager of a pipe manufacturing company you approach your bank to obtain a term loan so that the company can buy a new metal pressing machine. The bank offers your company a loan of $80,000 over a five-year period at a rate of interest of 6.40 per cent per annum, payable at the end of each month. Calculate the monthly loan instalment. c= monthly installment PV= present value of loan amount (80,000) i=12%/12=1% or 0.01 N=512=60

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As the finance manager of a pipe manufacturing company you a.pdf

  • 1. As the finance manager of a pipe manufacturing company you approach your bank to obtain a term loan so that the company can buy a new metal pressing machine. The bank offers your company a loan of $80,000 over a five-year period at a rate of interest of 6.40 per cent per annum, payable at the end of each month. Calculate the monthly loan instalment. c= monthly installment PV= present value of loan amount (80,000) i=12%/12=1% or 0.01 N=512=60