If the loan is defaulted it expects to recover 50 of its
A bank has made a loan charging a base lending rate of 10%. It expects a probability of default of 5%. If the loan is defaulted, it expects to recover 50% of its money through the sale of its collateral. What is the expected return on this loan?
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a bank has made a loan charging a base lending rate of 10 it expects a probability of default of 5 if the loan is
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