Answered step by step
Verified Expert Solution
Link Copied!

Question

1 Approved Answer

please show work and show the numbers used in the financial calculator Remaining Time: 1 hour, 12 minutes, 31 seconds. Question Completion Status: QUESTION 5

image text in transcribed
please show work and show the numbers used in the financial calculator
Remaining Time: 1 hour, 12 minutes, 31 seconds. Question Completion Status: QUESTION 5 7.7 points 5. Suppose borrow $100.000 at a rate of 8% with a 30 year foxed mortgage. Suppose after 5 years the rate goes down to 5.5% and you're considering refinancing it to a new 30 year foxed loan at the new rate.. Suppose the bank will charge a 2% pre payment penalty on the existing balance and a $1,500 fee on the new loan. Suppose I will take the fees and add them into my new loan. What is my new monthly payment after the "refi? a. $733.76 b. $1019.33 O c. $424.18 d. $558.80 QUESTION 6 7.7 points 6. Buy a house for $200,000 with an 80% LTV. Suppose after one year the house goes up by 4%. Suppose the following year the house goes up by another 3%, and suppose he last year the house goes down by 2%. What's my cash on cash retur? a 13.52% b. 20% c. 7.68% d. -14.3% .. 5,93% Save All Answers

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

Measuring Business Interruption Losses And Other Commercial Damages An Economic Approach

Authors: Patrick A. Gaughan

3rd Edition

1119647916, 9781119647911

More Books

Students also viewed these Accounting questions