MultiCorp International Inc (MCIC)

[run_crusher]

By: clockwatcher10
14 Mar 2006, 07:17 PM EST
Msg. 67211 of 67214
(This msg. is a reply to 67209 by stockwabbit.)
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Wabbit: That fact hasn’t been lost on me either. Whatever Dan spends the money on, assuming it's even available, he’ll have to generate significant revenues to make the payments on the line of credit.

Wanna’ have fun? Lets get out our Handy Dandy Loan Calculator.

What might the monthly payments be if Dan got a loan for $5.5 million?

Lets say Dan got a line of credit for $5.5 million for 35 years (420 months) @ 5.25% fixed rate interest. First payment is due on 4/15/2006.

Dan’s monthly payment will be $28,640.87

But what if Dan’s poor credit history caught up with him and he couldn’t secure a good interest rate. In addition what if the loan could only be written for a maximum of 30 years. What might the monthly payments be then?

Lets assume the best Dan can do is 7.5% for 30 years.

Dan’s monthly payment will be $38,456.80

So, Dan’s company needs to generate between $343,680 - $461,472 in revenue per year just to make the payments on the loan.

The question then becomes have we seen anything in the works that might generate that type of revenue plus some? After all we need to pay other bills and obligations as well.

So, what's Dan looking at that would generate that kind of revenue stream or more? Would a collection of TV stations do it? Would they generate enough business/revenues to also pay other expenses outside of the loan payment?
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