Loan Payments?

If a company is taking out a loan for 60% of it's Net Income ($27,600), and the length of the loan is 5 years with an annual interest rate of 6.25% - making 12 equal payments every year.

I have that the monthly payments would be $295 and that the total loan amount ($295*60) equals $17,714.

However, it does not seem to fit in nicely with my problem - is there some error i am making??

At the end of 2009 Ullswater Inc. intends to undertake an expansion of its facilities. To finance this expansion project, they turn to Guiyang Bank Inc. which agrees to extend a loan equal to 60% of 2009閳ユ獨 net income. The length of the loan is 5 years at an annual interest rate of 6.25%. Moreover, each year Ullswater Inc. will be required to make 12 equal payments on the loan.

Loan Payments?

Assuming the loan is $27,600 the monthly payment is $536.80. And, yes, you are making an error but I don't know where.

Assuming that $27,600 is the net income, the loan is$16,560 and the monthly payment is $322.08.