For a $100,000 mortgage for 25 years at a 11.5% rate (monthly payments), find 4) If 8.685 points are charged, what is the dollar amount actually loaned? 5) if the loan is held for 25 years, what is the yield to the lender? - hint - subtract 8.685% from the $100,000 loan amount and enter as negative PV, then enter the monthly payment amount as pmt, enter 300 as n, and solve for %I (and multiply the answer by 12 to get the annual rate).
For a $100,000 mortgage for 25 years at a 11.5% rate (monthly payments), find 4) If 8.685 points are charged, what is the dollar amount actually loaned? 5) if the loan is held for 25 years, what is the yield to the lender? - hint - subtract 8.685% from the $100,000 loan amount and enter as negative PV, then enter the monthly payment amount as pmt, enter 300 as n, and solve for %I (and multiply the answer by 12 to get the annual rate).
Essentials Of Investments
11th Edition
ISBN:9781260013924
Author:Bodie, Zvi, Kane, Alex, MARCUS, Alan J.
Publisher:Bodie, Zvi, Kane, Alex, MARCUS, Alan J.
Chapter1: Investments: Background And Issues
Section: Chapter Questions
Problem 1PS
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For a $100,000 mortgage for 25 years at a 11.5% rate (monthly payments), find
4) If 8.685 points are charged, what is the dollar amount actually loaned?
5) if the loan is held for 25 years, what is the yield to the lender? - hint - subtract 8.685% from the $100,000 loan amount and enter as negative PV, then enter the monthly payment amount as pmt, enter 300 as n, and solve for %I (and multiply the answer by 12 to get the annual rate).
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