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A homeowner took out a 30-year fixed-rate mortgage of $220,000. The mortgage was taken out 10 years ago at a rate of 7.20 percent.
A homeowner took out a 30-year fixed-rate mortgage of $220,000. The mortgage was taken out 10 years ago at a rate of 7.20 percent. If the homeowner refinances, the charges will be $3,500. What is the highest interest rate at which it would be beneficial to refinance the mortgage? (Do not round intermediate calculations. Enter your answer as a percent rounded to 2 decimal places.) APR
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Financial Accounting Tools for business decision making
Authors: Paul D. Kimmel, Jerry J. Weygandt, Donald E. Kieso
6th Edition
978-1119191674, 047053477X, 111919167X, 978-0470534779
