Ask Question, Ask an Expert

+1-415-315-9853

info@mywordsolution.com

Ask Basic Finance Expert

Suppose that your neighbour took the loan of $300,000 5 years ago. At that time, she took 30 year loan for 5.8%. She now wishes to regard as refinancing her loan. She went to bank and was told that refinancing her loan for 30 years would cost her $6500 direct and re financing her loan for 15 years would cost her $5000 direct. Your neighbour is low on cash and would favour to add upfront fees into her latest loan. Your neighbour comes to look for your help with her mortgage dilemma.

Can you utilize your Time Value of Money ability to aid show your neighbour if she must go for refinancing? You can guide her in terms of helping her know her present interest expense against future interest expense, present PMT against future PMT, how 15 year loan against a 30year loan would influence her finances, and so on. Assist her understand by giving her various situations so she can make good decision which suits her best. You can get present rates from any bank website by looking for under Mortgage Rates.

Give your work  by using tables/graphs/explanations.

Basic Finance, Finance

  • Category:- Basic Finance
  • Reference No.:- M914054

Have any Question? 


Related Questions in Basic Finance

1 what is a pro forma statement2 what is an audited

1. What is a pro forma statement? 2. What is an audited statement and who can prepare one? 3. Describe the function of the Office of Interstate Land Sales. 4. Define construction loan. 5. How is a takeout commitment norm ...

1 would you expect the profit margin in a quality jewelry

1. Would you expect the profit margin in a quality jewelry store to differ from that of a grocery store? Comment. 2. The ratio return on assets has net income in the numerator and total assets in the denominator. Explain ...

1 from a tax perspective what primary requirements in a

1. From a tax perspective, what primary requirements in a lease transaction must be met in order for the IRS to consider the transaction a genuine lease? Why is a favorable IRS ruling regarding the tax status of a lease ...

1 a 75000 mortgage is obtained at 9 it should be paid in 20

1. A $75,000 mortgage is obtained at 9%. It should be paid in 20 years. Find the payment at the start of each month. 2. Herb is a self-employed agent who is setting his own retirement fund. He is depositing $17,000 a yea ...

1 compare the ethical dilemmas faced by behavioral

1. Compare the ethical dilemmas faced by behavioral scientists with those faced by scientists in other scientific fields. What are the particular ethical problems that arise in behavioral science research? 2. Explain why ...

Rewrite a networking emailimagine that your friend ron asks

Rewrite a networking email. Imagine that your friend, Ron, asks you to review a draft networking email before he sends it. His goal is to get a summer internship in the marketing department of the company. What advice wo ...

1 what is the yield to maturity why is the yield to

1. What is the yield to maturity? Why is the yield to maturity a better measure of the interest rate on a bond than is the coupon rate? 2. Write an expression showing the relationship among the price of a coupon bond, th ...

1 in classless addressing we know the first and the last

1. In classless addressing, we know the first and the last address in the block. Can we find the prefix length? If the answer is yes, show the process. 2. In classless addressing, we know the first address and the number ...

1 how would stephanies banking service decisions be

1. How would Stephanie's banking service decisions be different if she were a single mother of two children? 2. How would Stephanie's banking service decisions be affected if she were 35 years old? If she were 50 years o ...

Common stock of pr co has an expected return of 12 the

Common stock of pr Co. Has an expected return of 12% . The expected market return is 14% and risk free rate is 2%. What is pr Co.s Beta coefficient?

  • 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

Section onea in an atwood machine suppose two objects of

SECTION ONE (a) In an Atwood Machine, suppose two objects of unequal mass are hung vertically over a frictionless

Part 1you work in hr for a company that operates a factory

Part 1: You work in HR for a company that operates a factory manufacturing fiberglass. There are several hundred empl

Details on advanced accounting paperthis paper is intended

DETAILS ON ADVANCED ACCOUNTING PAPER This paper is intended for students to apply the theoretical knowledge around ac

Create a provider database and related reports and queries

Create a provider database and related reports and queries to capture contact information for potential PC component pro

Describe what you learned about the impact of economic

Describe what you learned about the impact of economic, social, and demographic trends affecting the US labor environmen