Calculation of Rates. (a) All interest shall be calculated using the nominal rate method and not the effective rate method, and the "deemed reinvestment principle" shall not apply to such calculations. (b) Annual rates shall be calculated daily on the basis of a 365(6) day year. (c) For the purposes of the Interest Act (Canada), the yearly rate to which a rate calculated hereunder is equivalent, is equal to the rate so calculated multiplied by the actual number of days included in that year and divided by 365(6) days.
Appears in 2 contracts
Sources: Loan Agreement, Loan Agreement
Calculation of Rates.
(a) All interest shall be calculated using the nominal rate method and not the effective rate method, and the "deemed reinvestment principle" shall not apply to such calculations.
(b) Annual rates shall be calculated daily on the basis of a 365(6) day year.
(c) For the purposes of the Interest Act (Canada), the yearly rate to which a rate calculated hereunder is equivalent, is equal to the rate so calculated multiplied by the actual number of days included in that year and divided by 365(6) days.
Appears in 1 contract
Sources: Loan Agreement