During the Last Year You Have Had a Loan Commitment

question 97

Multiple Choice

During the last year you have had a loan commitment from your bank to fund working capital for your business. The total line available was $10,000,000, of which you took down $7,800,000. It is now the end of the loan commitment period and your bank had you pay the back-end fees. You have misplaced the paperwork that listed the terms of the commitment, but you know you paid total fees (this does not include any interest paid to borrow the $7,800,000) of $51,200 on this loan commitment. You remember that the back-end fee was 112 basis points. Calculate the front-end fee on this loan commitment.

• A) 31 basis points
• B) 27 basis points
• C) 25 basis points
• D) 23 basis points

---

Definitions:

Biological Sex

The classification of an individual, typically as male or female, based on biological attributes such as chromosomes, hormones, and reproductive organs.

Gender Identity

An individual's personal sense of their own gender, which may or may not align with the sex they were assigned at birth.

Gender Roles

Social and cultural expectations regarding behaviors, actions, and roles typically associated with one's gender within a society.

Sandra Bem

A psychologist known for her work on gender studies and the development of the Bem Sex-Role Inventory.