How long would it take for S&S to pay off the smart loan assuming 30-year traditional mortgage

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How long would it take for S&S to pay off the smart loan assuming 30-year traditional mortgage payment?

Why is this shorter than the time needed to pay off the traditional mortgage?

How much interest would the company save?

Loan - $35,000,000

APR - 5.7%

$35,000,000 at 5.7% APR for 30 years:

Monthly Payment = $203,140.15

Related Book For answer-question

Essentials Of Corporate Finance

ISBN: 9780073382463

7th Edition

Authors: Stephen Ross, Randolph Westerfield, Bradford Jordan

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Posted Date: May 09, 2024 09:23 AM

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How long would it take for S&S to pay off the smart loan assuming 30-year traditional mortgage

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Expert Answer:

It would take approximately 14 years and 6 months to pay off the Smart Loan assuming ... View the full answer

Essentials Of Corporate Finance

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