Hypothetical Terms of Sale

You use the Hypothetical Terms of Sale worksheet to enter financing terms for an acquisition of the business at the appraised value. The appraised value appears at the top of the dialog box and is produced by the Conclusions of Value calculation.

Step01Enter the Percentage Financed by Each Source

In the column labeled "Percentage", enter the portion of the financing that will be received from the listed sources. You can enter names for the last two sources. The worksheet will calculate the dollar amount of each source of funds.

Step02Enter the Length of Each Loan

In the column labeled "Terms (mos.)", enter the term of each loan in months.

Step03Enter the Interest Rate for Each Loan

In the column labeled "Interest", enter the interest rate for each loan. The worksheet will calculate the monthly payment.