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Suppose instead that the borrower must pay 1.5 points and $500 in miscellaneous fees in association with this loan. What is the borrowers EBC assuming
- Suppose instead that the borrower must pay 1.5 points and $500 in miscellaneous fees in association with this loan.
- What is the borrowers EBC assuming a 30-year holding period?
- What is the borrowers EBC with a 10-year expected holding period?
- Explain briefly why the EBC is higher in part b than it is in part a.
- What is the APR on this loan if the borrowers expected holding period is 30 years?
- What is the loans APR if the borrower expects to hold the loan only 10 years?
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Extreme Events In Finance A Handbook Of Extreme Value Theory And Its Applications
Authors: Francois Longin
1st Edition
1118650190, 978-1118650196
