User Account

All Pages

What is the effective interest rate

Assignment Help Finance Basics
Reference no: EM131721512

A borrower is offered a mortgage loan for $100,000 with an interest rate of 10% and a 30-year amortization period with monthly payments. The origination fee is 1% of the loan and the lender charges two discount points. What is the effective interest rate?

Reference no: EM131721512

Questions Cloud

Case-using co-branding to reduce costs and boost sales : Have you ever stopped at a gas station and caught a quick lunch at an Arby's or a Blimpie sub sandwich inside? Or have you ever noticed that Baskin Robbins.
Negotiated price of the new car : You have just agreed on the final price for your new car and now you have to finance the purchase. The negotiated price of the new car
Compute the standard deviation of demand during lead time : Compute the standard deviation of demand during lead time and determine the safety stock and statistical reorder point that result in 5% stockouts.
Loan and accrued interest : In one year, you sell the house for $162,000 and pay off the loan and its accrued interest. You are in the 25% marginal tax bracket.
What is the effective interest rate : The origination fee is 1% of the loan and the lender charges two discount points. What is the effective interest rate?
Evaluate costs factors influencing the companys decision : What environmental factors and risks must be considered in the company's decision-making process - Evaluate costs factors influencing the companys decision
How your project will be beneficial to the company : Describe the problem and how your project will be beneficial to the company. Describe how you went about solving the problem.
What is the company daily demand for items : What is the company's daily demand for items?
Discuss the impact of the breach/fraud on the organization : Discuss what the organization has done or is doing to prevent the breach/fraud from occurring in the future

Reviews

Write a Review

Finance Basics Questions & Answers

  What was your total real return on investment

What was your total real return on investment?

  What are the five levels of maslow''s hierarchy

What are the five levels of Maslow's Hierarchy?

  Explain the key differences between the simple moving

explain the key differences between the simple moving average weighted moving average and exponential smoothing methods

  What is the current yield on the bond

What is the current yield on the bond?

  An investment will pay you 75000 in nine years assume the

an investment will pay you 75000 in nine years. assume the appropriate discount rate is 6 percent compounded daily.

  Critique the use of bank debit cards bank debit cards are

1. critique the use of bank debit cards. bank debit cards are becoming a popular alternative to using checks or credit

  Measurement of value to the shareholder

For valuation, should you compare book value with market value as a measurement of value to the shareholder? Please explain why or why not.

  How far upstream does the flow from the source reach

For the case of a source at the origin with a uniform free stream plot the streamline ψ = 0.

  What is the 1-year 99% var for each option separately

Suppose you write a 1-year cash-or-nothing put with a strike of $50 and a 1-year cash-or-nothing call with a strike of $215, both on stock A.

  Calculate the residual income or eva

Hospital is a division of Superior Healthcare managed as an investment center. In the last year, the hospital reported an after-tax income of $2,500,000.

  Pv and fv of an investment

You just received $225,000 from an insurance settlement. You have decided to set this money aside and invest it for your retirement. Currently, your aim is to retire 25 years from today.

  What is the component cost of debt for wacc calculation

The bond currently sells for $1,200, and the company's tax rate is 40%. What is the component cost of debt for use in the WACC calculation?

Free Assignment Quote

Assured A++ Grade

Get guaranteed satisfaction & time on delivery in every assignment order you paid with us! We ensure premium quality solution document along with free turntin report!

Submit Assignment

Academics

Major Subjects

Majors

Get In Touch

whatsapp: +1-415-670-9521

Phone: +1-415-670-9521

Email: [email protected]

TERMS & POLICIES

HELP & SUPPORT

All rights reserved! Copyrights ©2019-2020 ExpertsMind IT Educational Pvt Ltd