Ch16 Const
Excel. Refer to the “Ch16 Const” tab in the Excel Workbook provided on the Web site.
a. What is the yield to the lender and the investor’s after-tax IRR if 90 percent of the loan must be drawn during the first four months and 10 percent during the last eight months?
b. Repeat (a) assuming 60 percent of the loan is drawn the first four months and 40 percent the last eight months.
Ch16 Const