Assume that the company wants to introduce a new product withe the required capital of birr 360000 the company applied for credit at addise international bank in order to finance the required capital the bank accepted the application and agreed with 12%interest rate that's will be repaid with equal installment semiannually for five years the bank charged birr 2500per year for the facilitating the loan the company estimate a profit of birr 90000 calculate the amounte of borrowing financed by addise international bank determine the total expense related to the credit at the end of year one
