(Answered) A loan with the following terms is being madefixed rate

Finance

A loan with the following terms is being made:

Fixed rate, constant monthly payment. Closing date March 9^th. 8% interest rate. Prepaid interest due at the closing. $80,000 mortgage loan amount $1,500 loan discount payments to be paid by the buyer/borrower to the lender. 25-year term, monthly payment, fully amortizing.

a. Calculate the APR for federal truth-in-lending purposes.

View complete question

Basic Finance, Finance

Category:- Basic Finance
Reference No.:- M92794668
Price:- $10

Verified Expert

Priced at $20 Now at $10, Verified Solution

Have any Question?Write your Review or question?

Related Questions in Basic Finance

Calculate the value of a bonds with face value of 1000 a

Calculate the value of a bonds with face value of $1,000 a coupon interest rate of 8 percent paid semiannually; and a maturity of 10 years. Assume the following discount rate (a) 6 percent (b) 8 percent (c) 10 percent

How people in midlife or late adulthood can enhance optimal

How people in midlife or late adulthood can enhance optimal aging?

Problem - npv versus irr garage inc has identified the

Problem - NPV versus IRR Garage, Inc., has identified the following two mutually exclusive projects: Year Cash Flow (A) Cash Flow (B) 0 -$29,700 -$29,700 1 15,100 4,650 2 13,000 10,150 3 9,550 15,900 4 5,450 17,500 a-1. ...

A 2-year treasury security currently earns 197 percent over

A 2-year Treasury security currently earns 1.97 percent. Over the next two years, the real risk-free rate is expected to be 1.00 percent per year and the inflation premium is expected to be 0.60 percent per year. Calcula ...

Explain the systematic risk principle and how it relates to

Explain the systematic risk principle and how it relates to beta. according to the below message SYSTEMATIC RISK AND BETA The question that we now begin to address is this: What determines the size of the risk premium on ...

Question - you are given one-year stock options with an

Question - You are given one-year stock options with an exercise price of $30. The current stock price is $30, so the options are at-the-money. Without hedging, the stock price at year-end will either be $28 or $38 with ...

Your division is considering two facility investment

Your division is considering two facility investment projects, each of which requires an upfront expenditure of $15 million. You estimated that the investments will produce the following net cash flows: Year Project A Pr ...

The beta of m simon inc stock is 13 whereas the risk-free

The beta of M Simon Inc, stock is 1.3, whereas the risk-free rate of return is 0.08. If the expected return on the market is 0.12 , then what is the expected return on M Simon Inc?

Question - you are promised 10000 a year for six years

Question - You are promised $10,000 a year for six years after which you will receive $5,000 a year for six years. If you can earn 8 percent annually, what is the present value of this stream of payments?

A company has a capital structure of 39 debt 21 preferred

A company has a capital structure of 39% debt, 21% preferred equity and 40% common equity. The cost of debt financing is 3.25%, the cost of preferred equity financing is 7.38%, and the cost of common equity financing is ...

4,153,160 Questions Asked
13,132 Experts
2,558,936 Questions Answered

Ask Experts for help!!

Looking for Assignment Help?

Start excelling in your Courses, Get help with Assignment

Write us your full requirement for evaluation and you will receive response within 20 minutes turnaround time.

Ask Now Help with Problems, Get a Best Answer

Recent Questions

Ask Basic Finance Expert