Question
You have just purchased a new warehouse. To finance the purchase, youve arranged for a 25-year mortgage for 75 percent of the $4,200,000 purchase price.
You have just purchased a new warehouse. To finance the purchase, youve arranged for a 25-year mortgage for 75 percent of the $4,200,000 purchase price. The monthly payment on this loan will be $18,300.
1) What is the APR on this loan?
2) What is the EAR on this loan?
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Forecasting Methods And Applications
Authors: Spyros G. Makridakis, Steven C. Wheelwright, Rob J Hyndman
3rd Edition
0471532339, 9780471532330
