Aa.2 Initial Interest Rate?Loan Maturity (years) 20% Margin Above Index 3%Adjustment IntervalPointsInterest Rate CapLoan 4LOAN 1 LOAN 2 LOAN 3 LOAN 4??20203%Loan 1Loan 21 year1%NONE-1%-Using the information in the above table, select the loan with the lowest interest rate.Loan 3?203%1 year1 year1%1%1%/year 3%/year

A rise in the current rates for new debt instruments might result in investment losses, which is…

Initial Interest Rate ? Loan Maturity (years) 20 % Margin Above Index 3% Adjustment Interval Points Interest Rate Cap Loan 4 LOAN 1 LOAN 2 LOAN 3 LOAN 4 ? ? 20 20 3% 3% 1 year 1 year 1% 1% 1%/year 3%/year Loan 1 Loan 2 1 year 1% NONE ? 20 - - Using the information in the above table, select the loan with the lowest interest rate. Loan 3 1% -

Initial Interest Rate ? Loan Maturity (years) 20 % Margin Above Index 3% Adjustment Interval Points Interest Rate Cap Loan 4 LOAN 1 LOAN 2 LOAN 3 LOAN 4 ? ? 20 20 3% 3% 1 year 1 year 1% 1% 1%/year 3%/year Loan 1 Loan 2 1 year 1% NONE ? 20 - - Using the information in the above table, select the loan with the lowest interest rate. Loan 3 1% -

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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Initial Interest Rate Loan Maturity (years) Margin Above Index 3% Adjustment Interval Points Interest Rate Cap LOAN 1 Loan 1 Loan 2 Loan 3 Loan 4 ? 20 1 year 1% NONE LOAN 2 Which loan in the above table is an FRM? ? 20 - 1% LOAN 3 ? 20 LOAN 4 ? 20 3% 3% 1 year 1 year 1% 1% 1%/year 3%/year
Please answer fast I will rate for you sure....
Assume that you are preparing an amortization table for a three-year note with a stated and yield rate of 12% and 10%, respectively. The amount for cell C4 is computed by a. E3 x 10% b. E3 x 12% c. E3 x 5% d. E3 x 6%
What is the interest rate on a loan of $52,000 for 54 days that yields $780.00 interest? Group of answer choices 110% 0.3% 0.1%10%
Which of the following 4 loans has the lowest interest rate risk to the lenders? Loan 1 Loan 2 Loan 3 Loan 4 Initial Interest rate 5.00% 3.75% 4.50% 4.00% Loan Maturity (in 30 30 30 30 years) Margin above the n/a 3% 3% 3% index every Adjustment interval n/a every year every year year 1% per 3% per Interest rate cap n/a None year year Loan 1 Loan 2 Loan 3 Loan 4 O Cannot determine
K Find the APR (true annual interest rate), to the nearest 0.01%, for the loan given below. Purchase Price Add-On Interest Rate $4350 3.7% Down Payment $380 Number of Payments 12 *** The APR for the loan amount is%. (Type an integer or decimal rounded to the nearest hundredth as needed.)
FRM. (Term=30 years, Note Rate = 5.25, Loan Amount = 800,000, Points=2) What is the FTL annual percentage rate (FTLAPR) that the lender must disclose to the borrower? O 5.375% ○ 4.750% O 4.875% O 7.000% O 6.905% O 7.011%
Prepare a duration table under the following assumptions a. $100,000 balloon loan b. Annual payments c. 5-year balloon d. 20-year amortization e. 7% stated rate f. 9% yield
Use the following amortization chart: Selling price of home Down payment Principal (loan) Rate of interest Years Payment per $1,000 Monthly mortgage payment $ 79,000 $ 6,000 $ 73,000 6% 30 $ 5.9955 $ 437.67 Assume the interest rate rises to 7.5%. What is the total cost of interest with the new interest rate? (Use Table 15.1). Note: Round your intermediate calculations and final answer to the nearest cent. Total cost of interest: ????? The answer is NOT $110,753.57 TABLE 15.1 Amortization table (mortgage principal and interest per $1,000) Rate Interest Only 10 Year 15 Year 20 Year 25 Year 30 Year 40 Year 2.000 0.16667 9.20135 6.43509 5.05883 4.23854 3.69619 3.02826 2.125 0.17708 9.25743 6.49281 5.11825 4.29966 3.75902 3.09444 2.250 0.18750 9.31374 6.55085 5.17808 4.36131 3.82246 3.16142 2.375 0.19792 9.37026 6.60921 5.23834 4.42348 3.88653 3.22921 2.500 0.20833 9.42699 6.66789 5.29903 4.48617 3.95121 3.29778 2.625 0.21875 9.48394 6.72689 5.36014 4.54938…
Use the following amortization chart: Selling price of home Down payment Principal (loan) Rate of interest Years Payment per $1,000 Monthly mortgage payment $ 79,000 $ 6,000 $ 73,000 6% 30 $ 5.9955 $ 437.67 Assume the interest rate rises to 7.5%. What is the total cost of interest with the new interest rate? (Use Table 15.1). Note: Round your intermediate calculations and final answer to the nearest cent. Total cost of interest:???
account
Use the following amortization chart: Selling priceof home Downpayment Principal(loan) Rate of interest Years Payment per$1,000 Monthly mortgage payment $ 81,000 $ 4,000 $ 77,000 5.5% 30 $ 5.68 $ 437.36 Assume the interest rate rises to 7.0%. What is the total cost of interest with the new interest rate? (Use Table 15.1.) (Do not round intermediate calculations. Round your final answer to the nearest cent.)

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