Question
if a mortgage carries an annual interest rate of 6.5% and requires the payment of five points in order to be acceptable to a lender,
if a mortgage carries an annual interest rate of 6.5% and requires the payment of five points in order to be acceptable to a lender, what is the approximate yield of this loan to the lender?
A. 7.13
B 7.75
C 6.55
D 11.50
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Global Corporate Finance A Focused Approach
Authors: Kenneth Kim, Suk Kim
3rd Edition
9811207119, 9789811207112
