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Question 1 1 pts What is the APR associated with a $500,000, 15-year mortgage loan. The stated rate on the loan is 5.50%, which
Question 1 1 pts What is the APR associated with a $500,000, 15-year mortgage loan. The stated rate on the loan is 5.50%, which requires the borrower to pay 1.25 points upfront. Additionally the lender charges $2,000 as an origination fee. Remember that the APR is the effective rate assuming the loan is repaid over the full term. Please input your answer such that 8.22% would be input as 8.22. Question 2 1 pts What is the effective interest rate associated with a $500,000, 15-year mortgage loan. The stated rate on the loan is 5.50%, which requires the borrower to pay 1.25 points upfront. Additionally the lender charges $2,000 as an origination fee and you assume the loan will be repaid after the 22nd payment. Please input your answer such that 8.22% would be input as 8.22.
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