Rules for Calculating Borrowing and Repayment of Bank Loans

Rules for Calculating Borrowing and Repayment of Bank Loans...

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Decision Template for Calculating Borrowing and Repayment of Bank Loans Borrowing will be equal to…. . Either… Lump sum amount given in the problem OR, if there is Cash Short , Cash short rounded up to nearest thousand + Minimum Cash Balance . OR, if there is Cash Over that is less than the min. cash balance , ( Cash Over rounded down to nearest thousand
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Unformatted text preview: ) + Minimum Cash Balance Repayment will be equal to …… Either…. • Lump sum amount given in the problem OR • The Lesser of … a. Amount of the Loan outstanding OR b. ( Cash over - Minimum Cash Bal. - Any interest paid ) This amount should then be rounded down to the nearest thousand . If the amount is < zero, use zero....
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This note was uploaded on 03/04/2012 for the course ACCT 2460 taught by Professor Farrar during the Winter '12 term at Conestoga.

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