A loan of €10,000 is issued at 15% interest.Interest on the loan is to be repaid annually for 5 years,and the non-amortized principal is due at the end of the ﬁfth year.Calculate the NPV of the loan ifthe company's tax rate is 34%.

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The Answer of A loan of €10,000 is issued at 15% interest.Interest on the loan is to be repaid annually for 5 years,and the non-amortized principal is due at the end of the ﬁfth year.Calculate the NPV of the loan ifthe company's tax rate is 34%.

A Loan of €10,000 Is Issued at 15% Interest