Answered step by step

Verified Expert Solution

Link Copied!

Question

1 Approved Answer

Posted on Aug 24, 2024

An individual has a home that appraises for $500K, their mortgage is $400K. They open a home equity line of credit (HELOC) and withdraw $60K.

An individual has a home that appraises for $500K, their mortgage is $400K. They open a home equity line of credit (HELOC) and withdraw $60K. On the balance sheet for their home, their equity ________ and changes to __________.

Group of answer choices

Increases; $100K

Increases; $400K

Decreases; $60K

Decreases; $40K

Increases; $500K

Step by Step Solution

There are 3 Steps involved in it

Step: 1

Get Instant Access to Expert-Tailored Solutions

See step-by-step solutions with expert insights and AI powered tools for academic success

Step: 2

Step: 3

Ace Your Homework with AI

Get the answers you need in no time with our AI-driven, step-by-step assistance

Get Started

Recommended Textbook for

Risk Management And Financial Institutions

Authors: John C. Hull

3rd Edition

1118269039, 9781118269039

More Books

Students also viewed these Finance questions

Question

★★★★★

Is a homeowner allowed a property tax deduction for amounts included in the monthly mortgage payment that are earmarked for property taxes? Explain.

Answered: 1 week ago

Question

★★★★★

Objectives of financial reporting to external investors and creditors include preparing information about all of the following except: a. Information used to determine which products to produce. b....

Answered: 1 week ago

Question

★★★★★

5. Practice on models. Have students use the rubrics to evaluate the models you gave them in Step 2.

Answered: 1 week ago

Question

★★★★★

Robben Company is considering investing in an annuity contract that will return $40,000 annually at the end of each year for 15 years. What amount should Robben Company pay for this investment if it...

Answered: 1 week ago

Question

★★★★★

4. Imagine that these are the cash collection cycles for some well-run companies: What types of conclusions can you reach when you see this kind of variability? Imagine that those cash conversion...

Answered: 1 week ago

Question

★★★★★

Help me with this question please A 459045 prism is constructed from a synthetic resin. As shown in the figure, a light beam that enters the prism at the midpoint of the long side and parallel to the...

Answered: 1 week ago

Question

★★★★★

Using a Motorcycle System, create a list of functional and physical terms, develop a functional hierarchy and a physical hierarchy for the Motorcycle System.

Answered: 1 week ago

Question

★★★★★

After also looking specifically at the report on pages 11 and 10, discuss the usefulness of the ESEA of 1965 as it relates to safety and security in the 2010's. Discuss the value of federal action...

Answered: 1 week ago

Question

★★★★★

Question 1: Discuss the Primary Factors Influencing Earth's Climate and How They Interact Question 2: Explain the Concept of Climate Models and Their Role in Predicting Future Climate Changes

Answered: 1 week ago

Question

★★★★★

Global supply chain partners can experience various problems, such as managing the long-range logistics involved during the end-to-end process. Various issues contribute to such operational problems,...

Answered: 1 week ago

Question

★★★★★

Select the best option from the list of options provided to identify the impact on the total sample size based on each of the below facts. Each choice may be used once, more than once, or not at all....

Answered: 1 week ago

Question

★★★★★

=+What do you wish you had known when you were starting out?

Answered: 1 week ago

Question

★★★★★

=+How would you define yourself? List five words that capture who you are.

Answered: 1 week ago

Question

★★★★★

=+How do you communicate with others? Is your voice different from group to group, or is it the same?

Answered: 1 week ago

Previous Question Next Question