Amortizing Loans as a Percentage
OK, so kind of a newbie questions here..
The way I've previously looked at amortization has been on a yearly basis. For example, a loan has a 5 year term, but amortizing over a 30 year period.
A few days ago, I was asked by a European professional to size a loan that has a 2% annual amortization, which made me confused, as I've never encountered that before. Can someone please help me understand the difference between the two methods?
Greatly appreciated!
Perferendis ut fugit maiores. Fuga quo quia quisquam sapiente quo quidem. Ut enim reiciendis voluptas rerum debitis. Ut laboriosam rem at sunt facilis omnis laboriosam. Sunt magnam eos nostrum exercitationem. Unde sequi blanditiis illo. Quis dolore dolorem aut est eos reiciendis rerum.
See All Comments - 100% Free
WSO depends on everyone being able to pitch in when they know something. Unlock with your email and get bonus: 6 financial modeling lessons free ($199 value)
or Unlock with your social account...