What is the face value of the loan

Assignment Help Finance Basics
Reference no: EM132707457

The Robinsons' need $210,000 for a 30-year home loan. The lender charges 2 points on the loan.

a. What is the face value of the loan? 

b. If the monthly payment is $1325.24, what is the effective interest rate for this loan? Round to the nearest .1%. For full credit, show the equation you used and at least three trial value

Reference no: EM132707457

Questions Cloud

What the profit or loss of the business : Feb 1 Borrowed P100,000 by issuing a note that carried a 9% annual interest rate and a 1-yr term. What the profit or loss of the business
Identify significant-banking regulations : Identify 3 significant, banking regulations (Micro Prudential, Macro Prudential) that have been introduced arising from the Global Financial Crisis.
Describe how you would approach the community : Using the results of the "New Drivers of Leadership" self-assessment, and the 10 traits from the Jones (2015) article "What Employees Want in a Leader,".
Solve the amount of money justin had to deposit : Solve the amount of money Justin had to deposit in an investment fund growing at an interest rate of 2.50% compounded annually
What is the face value of the loan : The Robinsons' need $210,000 for a 30-year home loan. The lender charges 2 points on the loan.
International business : Some individuals who are engaged in international business transactions have reported a cultural component to ethics.
What is the interest earned over the six year period : What is the interest earned over the 6 year? Jared saved $240 at the end of every month for 6 years in his bank account that earned 4.10% compounded monthly.
Prepare general journal to record the above impairment loss : Prepare a general journal (as per template below) to record the above impairment loss for the year ended 30 June 2020. Include a narration
Compare managed care and case management : Compare and contrast managed care and case management. Discuss four milestones in the history and evolution of case management systems.

Reviews

Write a Review

Finance Basics Questions & Answers

  How rapidly security prices react to various news items

The semi-strong form of market efficiency has been tested by measuring how rapidly security prices react to various news items. Specifically, tests have been co

  What is the profit or loss associated with copper

Allocate the joint costs using the relative sales values. With these costs, what is the profit or loss associated with Copper?

  What is the major difference in the obligation of one with

what is the major difference in the obligation of one with a long position in a futures or forward contract in

  The residential mortgage portfolio''s wac and wam

The residential mortgage portfolio's WAC and WAM

  What is the market value of the bond

Given the market rate of interest of 4.8 percent, what is the market value of the bond? (Round answer to 2 decimal places, e.g. 15.25.)

  What isthe share price today based onthe gordon growth model

Extruded Elements had Net Income of $25,000,000 last year, and $26,250,000 this year (in line with its long-term earnings growth rate). There are 4,000,000 shares outstanding, and the firm follows a policy of paying 30% of its earnings out as dividen..

  Determine whether or not mvp should proceed with expansion

The firm would also make year-end principal payments of $2,333,333 million per year, completely retiring the issue by the end of the third year. Using the Adjusted Present Value (APV) method, determine whether or not MVP should proceed with the ex..

  Distinguish the given terms

What tend to be the problems specifically associated with each of these?

  Calculate net pay and spendable income

Your gross pay per pay period is $1,700 and you are in the 25 percent tax bracket. Calculate your net pay and spendable income

  Are capm betas higher for high pie stocks

Why would you expect an abnormally high growth to fade toward average growth for the economy in the long run?

  Disadvantages of an architecture using cgi scripts

1. Explain the following terms and describe what they are used for: HTML, URL, XML, Java, JSP, XSL, XSLT, servlet, cookie, HTTP, CSS, DTD. 2. What is CGI? Why was CGI introduced? What are the disadvantages of an architecture using CGI scripts?

  What is the beta of apples business assets

Apple Computer had no debt, total equity capitalization of $128 billion, and a (equity) beta of 1.7 (as reported on Google Finance). Included in Apple’s assets was $25 billion in cash and risk-free securities. Assume that the risk-free rate of intere..

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!

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