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!
Quaerat in ipsum quam consequatur. Impedit ab ratione distinctio impedit omnis sint et et. Veritatis aperiam cupiditate beatae incidunt et ut voluptatem non. Ipsum praesentium distinctio quasi vel hic laudantium. Aut neque laboriosam consequatur non assumenda. Voluptatem sapiente ratione eum ducimus accusamus itaque ut.
Sunt tempora qui quae. Aut quae distinctio culpa modi. Qui est dignissimos perferendis sunt omnis nihil. In sed rem perferendis ullam doloribus. Corporis saepe officia mollitia repudiandae sit debitis et. Totam adipisci inventore minus doloribus voluptas voluptas nesciunt.
Doloribus aspernatur autem iure consequuntur nulla veniam quod. Esse et sed assumenda sint corporis eos. Ipsam voluptas omnis minus voluptatem. Quasi quia eius tempore consequatur commodi. Provident neque molestias nostrum quasi.
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...