subject
Business, 28.11.2019 20:31 porterdylan15

Suppose that florida bank has recently granted a loan of $2 million to oyster farms at libor plus 0.5 percent for six months. in return for granting oyster farms an interest-rate cap of 6.5 percent on its loan, this bank has received from this customer a floor rate on the loan of 5 percent. suppose that, as the loan is about to start, libor declines to 4.25 percent and remains there for the duration of the loan. how much (in dollars) will oyster farms have to pay in total interest on this six-month loan with floor and without floor? how much in interest rebates will oyster farms have to pay due to the fall in libor?

ansver
Answers: 3

Another question on Business

question
Business, 22.06.2019 19:30
Oz makes lion food out of giraffe and gazelle meat. giraffe meat has 18 grams of protein and 36 grams of fat per pound, while gazelle meat has 36 grams of protein and 18 grams of fat per pound. a batch of lion food must contain at least "46,800" grams of protein and 70,200 grams of fat. giraffe meat costs $1/pound and gazelle meat costs $2/pound. how many pounds of each should go into each batch of lion food in order to minimize costs? hint [see example 2.]
Answers: 1
question
Business, 22.06.2019 23:10
Mbo works by objectives moving through the organization; that is, top managers set general organizational objectives, which are translated into divisional objectives, which are translated into departmental objectives. the hierarchy ends in individual objectives set by each employee. this is an example of mbo working as objectives through the organization.
Answers: 1
question
Business, 23.06.2019 02:30
Harmon inc. produces joint products l, m, and n from a joint process. information concerning a batch produced in may at a joint cost of $75,000 was as follows:
Answers: 3
question
Business, 23.06.2019 08:00
In a high school with 3000 students, counselors are putting together a math tutoring program for the neighboring middle school. they plan to invite high school students with high average test scores to tutor middle school students, and they would like to offer gift cards to the student tutors. the counselors have a spreadsheet showing each student’s average test scores, and in order to find out how many gift cards they should purchase, the counselors need to count how many students would qualify to become tutors. which type of function would best the counselors determine the number of eligible students?
Answers: 3
You know the right answer?
Suppose that florida bank has recently granted a loan of $2 million to oyster farms at libor plus 0....
Questions
Questions on the website: 13722360