pls refer to the image attached,1. suppose that you have the capacity to pay, would you rather borrow a loan that is amortized monthly, or one that is amortized quarterly? 2. what is your considerations when availing a loan? (quantitative or qualitative considerations) Discuss. For the next 5 questions, refer to the following information:On January 1, 2021, ABC Company borrows P2,000,000 from a bank. The annual loan amortization is P487,781, to be paid at the endof each of the next 5 years. The lender charges 7% on the balance at the beginning of each year.

Answered: Image /qna-images/answer/a6e883ed-7611-46a2-b9cd-9b954c4fb13a.jpg

1. suppose that you have the capacity to pay, would you rather borrow a loan that is amortized monthly, or one that is amortized quarterly? 2. what is your considerations when availing a loan? (quantitative or qualitative considerations) Discuss.

1. suppose that you have the capacity to pay, would you rather borrow a loan that is amortized monthly, or one that is amortized quarterly? 2. what is your considerations when availing a loan? (quantitative or qualitative considerations) Discuss.

FINANCIAL ACCOUNTING

10th Edition

ISBN:9781259964947

Author:Libby

Publisher:Libby

Chapter1: Financial Statements And Business Decisions

Section: Chapter Questions

Problem 1Q

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Question

pls refer to the image attached,

1. suppose that you have the capacity to pay, would you rather borrow a loan that is amortized monthly, or one that is amortized quarterly?

2. what is your considerations when availing a loan? (quantitative or qualitative considerations) Discuss.

For the next 5 questions, refer to the following information:
On January 1, 2021, ABC Company borrows P2,000,000 from a bank. The annual loan amortization is P487,781, to be paid at the end
of each of the next 5 years. The lender charges 7% on the balance at the beginning of each year.

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