The vignette of Montero case:
For the effective rate on the loan, Ehibit 1 says that Maturity of the loan is 180 days from today. The call expires 60 days from today. So I took the loan is for 180-60= 120 days. In the answer key, they show that loan was for 180 days???
Don’t bother understanding. I did the same mistake. It’s just another annoying mistake coming from CFAI. The question differs from the question that you later see on the answer sheet. On the asnwer sheet, in Exhibit 1, they have replaced “180 days from today” by “180 days”