Mr smith has a 10-year mortgage of 375000 with an interest

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Reference no: EM13381192

Mr. Smith has a 10-year mortgage of $375,000 with an interest rate of 6.5% APR compounded semi-annually. Mortgage payments are made at the beginning of each month. What is the balance remaining on this mortgage in 5 year's time?

Choose one answer.

a. $187,500

b. $215,325

c. $216,077

d. $217,231

e. $217,623

Given the following information, calculate the rate of return.

Price = $282.51

Time to maturity = 10 years

Annual payment = $50

Choose one answer.

a. 10%

b. 10.5%

c. 11%

d. 11.5%

e. 12%

We observe a stock selling for $20 per share. The next dividend is expected to be $1 per share. We think that the dividend will grow by 10% indefinitely. What is the dividend yield on this stock?

Choose one answer.

a. 5%

b. 10%

c. 15%

d. 20%

e. 25%

Reference no: EM13381192

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