Converting Debt / Interest Rates
Hi guys,
I am hoping someone would be able to assist me...I am trying to create a capitalization table and the Company has notes in peso. Obviously, its easy to convert the amount outstanding from peso to usd, but was wondering how about the interest rate? Should that get converted to a more US interest rate? What is the best way to go about doing this.
Thank you!
"Should that get converted to a more US interest rate?"
...wait, what??
No, dude.
Yes, convert from metric system to US customary units system.
No - the interest rate stays the same.
Ex. 10 peso = $1
The loan is for 100 pesos @ 10% interest paid = 10 pesos (or $1)
Converting the 100 peso into USD = $10 $10 @ 10% = $1 (or 10 pesos)
Just make a schedule of the notes in pesos and convert the currency.
convertible debt cap table
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