15. What is the rate of interest on a 30 year fully amortizing loan if...
70.2K
Verified Solution
Link Copied!
Question
Accounting
15. What is the rate of interest on a 30 year fully amortizing loan if the monthly repayments are $1,270.48? a) 5.45% b) 4.85% c) 5.86% d) 6.12%
16. Based on a $400,000 25 year loan at an interest rate of 6.45% what are the interest payments in the first month a) $1,857.50 b) $2,150.00 c) $2,418.75 d) Cant answer the question without knowing if the loan is fully amortizing or partially amortizing.
17. Moving from a Fixed-Rate loan to an Adjustable Rate loan transfers interest rate exposure from the lender to the borrower? a) True b) False
18. 13 years ago a household took out a 20 year Interest Only $350,000 loan at a fixed-rate of 3.85%. How much is the outstanding principal on the loan? a) $235,491.43 b) $173,167.38 c) $350,000.00 d) $121,467.84
19. Based on a partially amortizing $625,000 loan with a balloon payment of 20% what are the monthly repayments with a term of 25 years and an interest rate of 4.85% a) $3,481.17 b) $3,384.63 c) $2,976.75 d) $3,599.28
20. How much would the total repayments differ between a fully amortizing 25 year loan for $500,000 at 6.55% and an identical loan repaid over 15 years? a) $139,477.56 b) $184,816.63 c) $289,110.40 d) $231,029.65
Answer & Explanation
Solved by verified expert
Get Answers to Unlimited Questions
Join us to gain access to millions of questions and expert answers. Enjoy exclusive benefits tailored just for you!
Membership Benefits:
Unlimited Question Access with detailed Answers
Zin AI - 3 Million Words
10 Dall-E 3 Images
20 Plot Generations
Conversation with Dialogue Memory
No Ads, Ever!
Access to Our Best AI Platform: Flex AI - Your personal assistant for all your inquiries!
