Answered step by step
Verified Expert Solution
Link Copied!

Question

1 Approved Answer

Information needed to answer #2B (ii) and (iii) Risk class is 1 if weighted average risk score is> 1 but $1.5 Risk class is 2

image text in transcribed
Information needed to answer #2B (ii) and (iii) Risk class is 1 if weighted average risk score is> 1 but $1.5 Risk class is 2 if weighted average risk score is 2 1.51 but 2.25 If risk class is 1, the borrower will be charged 6% of interest rate. If risk class is 2, the borrower will be charged 7% of interest rate. If risk class is 3, the borrower will be charged 8% of interest rate. #2B. Please fill-in the following blanks: (3 points) (i) The characteristics of a borrower described in #2A are relatively weak). (strong or (ii) Based on your calculation in #2A, risk class is (1 or 2 or 3). (6% or 7% or 8%) (iii) Based on the borrower's risk class, the borrower will be charged of interest rate. Information needed to answer #2B (ii) and (iii) Risk class is 1 if weighted average risk score is> 1 but $1.5 Risk class is 2 if weighted average risk score is 2 1.51 but 2.25 If risk class is 1, the borrower will be charged 6% of interest rate. If risk class is 2, the borrower will be charged 7% of interest rate. If risk class is 3, the borrower will be charged 8% of interest rate. #2B. Please fill-in the following blanks: (3 points) (i) The characteristics of a borrower described in #2A are relatively weak). (strong or (ii) Based on your calculation in #2A, risk class is (1 or 2 or 3). (6% or 7% or 8%) (iii) Based on the borrower's risk class, the borrower will be charged of interest rate

Step by Step Solution

There are 3 Steps involved in it

Step: 1

blur-text-image

Get Instant Access to Expert-Tailored Solutions

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

Step: 2

blur-text-image

Step: 3

blur-text-image

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

Personal Finance

Authors: E. Thomas Garman, Raymond E. Forgue, Jonathan Fox

14th Edition

ISBN: 0357901495, 9780357901496

More Books

Students also viewed these Finance questions