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The bank is faced with a request for a $1 million one-year construction loan to be rolled into a three-year term loan to finance the development of a high-security mini-warehouse and locker facility. The principals have asked for a fixed-rate loan and have indicated they expect to carry significant deposit balances. The loan officer, whose bank is aggressively seeking new loans to use its rapidly growing deposit base, must decide whether to make the loan, for what term, and at what price.