Kevin are determined to buy new car and he can afford to pay Rs. 120,000 per annum for 5 years towards a new Car. Kevin call a finance company and learn that the going rate of interest is 1 per cent month. Kevin required to: a) Calculate the amount that can be borrowed by you now towards purchase of a new car. b) Prepare amortisation schedule for the car loan c) Calculate total amount and total interest paid by you to the finance company towards car loan borrowed ?

Kevin are determined to buy new car and he can afford to pay Rs. 120,000 per annum for 5 years towards a new Car. Kevin call a finance company and learn that the going rate of interest is 1 per cent month. Kevin required to: a) Calculate the amount that can be borrowed by you now towards purchase of a new car. b) Prepare amortisation schedule for the car loan c) Calculate total amount and total interest paid by you to the finance company towards car loan borrowed ?

EBK CFIN

6th Edition

ISBN:9781337671743

Author:BESLEY

Publisher:BESLEY

Chapter4: Time Value Of Money

Section: Chapter Questions

Problem 25PROB

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