ASSET VALUE DOWN PAYMENT LOAN AMOUNT EMI 2434 LOAN PERIOD 24 EMI (2 YEAR) RATE OF RETURN 13.50% X 2 years X Rate of Interest = 15126 ACTUAL FLAT RATE OF INTEREST IS 17.47% EFFECTIVE RATE INTEREST = 40% ANNUAL INSTALLMENT EQUIVALENT TO THE VALUE OF THE 12 MONTHLY INSTALMENT.
ASSET VALUE DOWN PAYMENT LOAN AMOUNT EMI 2434 LOAN PERIOD 24 EMI (2 YEAR) RATE OF RETURN 13.50% X 2 years X Rate of Interest = 15126 ACTUAL FLAT RATE OF INTEREST IS 17.47% EFFECTIVE RATE INTEREST = 40% ANNUAL INSTALLMENT EQUIVALENT TO THE VALUE OF THE 12 MONTHLY INSTALMENT.
ASSET VALUE DOWN PAYMENT LOAN AMOUNT EMI 2434 LOAN PERIOD 24 EMI (2 YEAR) RATE OF RETURN 13.50% X 2 years X Rate of Interest = 15126 ACTUAL FLAT RATE OF INTEREST IS 17.47% EFFECTIVE RATE INTEREST = 40% ANNUAL INSTALLMENT EQUIVALENT TO THE VALUE OF THE 12 MONTHLY INSTALMENT.
LOAN AMOUNT 43290 EMI 2434 LOAN PERIOD 24 EMI (2 YEAR) RATE OF RETURN 13.50% Total Payment = 2434 X 24 = 58416 Interest = Loan Amt – Total Payment = 43290 – 58416 = 15126 43290 X 2 years X Rate of Interest = 15126
ACTUAL FLAT RATE OF
INTEREST IS 17.47% 2434 X 12 X I/d^12 X PVIFA (I,2) =43290
EFFECTIVE RATE OF INTEREST =
40% ANNUALINSTALLMENT EQUIVALENT TO THE VALUE OF THE 12 MONTHLY INSTALLMENT
=2434 X 12 = 29208 I/d12= FOR 40% = 1.2055 = 29208 X 1.2055 = 35210 ANNUAL INTEREST REBATE = 35210 - 29208 = 6002