Reference no: EM132487494
Question - You are graduating in May 2020 with a B.S. and want to attend graduate school full time for two years for an MBA. Though scholarships, support from your parents, and savings, you don't have any debt for your undergraduate education, and you've agreed to pay for graduate school on your own.
You estimate that you will need to borrow about $40,000 in each of the next two years: $40,000 in August 2020 and $42,000 in August 2021. The term of each loan will be 15 years, paid monthly. Your first payment will be due October 1, 2020 and the first payment of the second loan will be due October 2, 2021.
You've researched student loans and found the following rates that are guaranteed not to be any higher over the next 20 years:
Direct unsubsidized loans - capped at $20,500 @6.08% for fifteen years
Direct PLUS loans @ 7.08% for fifteen years
There are also origination fees - that are subtracted from the loan amount you receive, but does not affect the principal or monthly payment. The rates are:
Direct unsubsidized loans: 1.059%
Direct PLUS loans: 4.236%
Question 1 - How much money do you expect to receive in August 2020?
Question 2 - How much money do you expect to receive in August 2021?
Question 3 - What will be the remaining principal in October 2020?
Question 4 - What will be the remaining principal in November 2021?
Question 5 - What is the total monthly payment in August 2020?
Question 6 - What is the total monthly payment in July 2025?
Question 7 - What is the remaining principal in August 2028?
Question 8 - How much do you expect to pay in total for both loans?
Question 9 - What is the effective simple interest rate for the Direct unsubsidized loans: (interest + Origination fees)/(Loans)?
Question 10 - What is the effective simple interest rate for the Direct PLUS loans (interest + Origination fees)/(Loans).
What the borrower will pay
: Molson Brewing Co. issued a $60,000, 60-day, discounted note to National Bank. The discount rate is 6%. At maturity, assuming a 360-day year, the borrower will
|
Discuss strategies that should be used by crm instructors
: We have covered the key components in CRM that should be included in CRM training programs. CRM scenarios should be included in LOFT and other types of flight.
|
How does valuation compare with the closing price
: Closed at $53.82 per share on March 8, 2017, the date the 10-K was filed with the SEC. How does your valuation compare with this closing price
|
Describe the business value and processes of ict services
: Describe the business value and processes of ICT services in an organisation and understand the knowledge and skills of an enterprise architect in the workplace
|
How much money do you expect to receive in August
: You estimate that you will need to borrow about $40,000 in each of the next two years: $40,000 in August 2020. How much money do you expect to receive in August
|
What are some ways to overcome the obstacles
: Using support from course material, explain the importance of goal-setting in life coaching. Describe how a life coach works with a person to implement a plan.
|
What did the client learn from the exercise
: Give a brief description of the coaching session. Include how you would introduce and walk your client through the Graph of Life exercise.
|
Explain the term whistle-blower
: Explain the term whistle-blower, and distinguish between internal and external whistle- blowing. Which approach should Ben follow
|
Is ethical for a company to have a secret system
: company is even aware of the second system. Is it ethical for a company to have a secret system like the one described? Explain.
|