question archive Which of the two statements A and B is correct? NB: If you think the two statements are correct, you should answer C, if you think the two statements are not correct, you should answer D
Subject:FinancePrice:2.86 Bought7
Which of the two statements A and B is correct? NB: If you think the two statements are correct, you should answer C, if you think the two statements are not correct, you should answer D. A - The Net Present Value of the amortized loan is o both from the perspective of the banker and from the perspective of the borrower. B - In an amortized loan, the gain of the banker is the discounted sum of the interests paid by the borrower. O c-Both statements are correct. D - None of these two statements are correct.
Option A is correct
Payment on loan is dependent on the interest rate and loan amount and if payments are discounted at the same interest rate then NPV will be zero