CS619: Test Phase (OVS) 2020

Suppose ABC bank is offering Car Loan to its customers. As a software developer, you have to
develop an application in PHP for this bank which will facilitate the bankers and its customers
for effective calculations regarding car loan plans and installments with reference to number of
years. For your guidance, bank has provided you the following eligibility criteria for car loans.

Requirements  Salaried Individuals Business Persons

Citizenship Pakistani Pakistani

Age 25-50 years 25-70 years

Minimum monthly income Rs. 70,000 Rs. 85,000

Table: Eligibility Criteria for Car Loan

Task 1:

You are required to write an application program which will facilitate user to check eligibility
based on the upper table. If the user is not eligible, the application will prompt user “You are
not eligible for this loan” and this step should be repeated to check other customer’s eligibility
criteria.

Task 2:

In other case if the user is eligible, your developed application should provide an interface which
will ask the following information to calculate monthly installment as per plan.

 Car name/model
 Total Cost of Vehicle (In Rupees)
 Down payment (20-50%)
 Number of Years (3,4,5)
 Markup Rate (taken from customer 10 - 15%)
How to do?
Virtual University of Pakistan (VU)

1
 CS619: Test Phase (OVS) 2020
 First check the eligibility;
 If a person is eligible remaining process will be carried out.
 Followings are the parameters taken from the customer: -
 Car name
 Total Cost of Vehicle
 Down payment
 Number of Years
 Markup Rate Option
Note: - Followings are checks on different fields
 Car Name (Choose from given list of Vehicles)
 Down payment should be from 20% to 50%
 Markup will be charged 10 to 15% Per Annum
 Number of years of installments should be 3, 4 or 5.
 Following is an example for 3 years plan; your application should support all three plans
(3, 4 and 5 years).
Example For 3 Year Plan
Formula to calculate installment:
Calculate monthly installments as follows:
Total Payment – Down Payment
For example if a car price is 700000 and you pay down payment 200000 then
700000 – 200000 = 500000
Installment for 3 Years
500000 / 36 = 13888
Calculate Mark Up Per Annum (12 % )
500000 * 0.12 = 60000
60000 / 12 = 5000
Total payment value per month = 13888 + 5000 = 18888
Good Luck!

Virtual University of Pakistan (VU)