Logo
Home Study Material Contact Search
AI Chat FREE
  1. business
  2. finance
  3. consider a 6%, 30 year, $200,000 level payment mor

Consider a 6%, 30 year, $200,000 level payment mortgage with a monthly payment of $1,199.10. Assume...

70.2K

Verified Solution

Question

Finance

  1. Consider a 6%, 30 year, $200,000 level payment mortgage with amonthly payment of $1,199.10. Assume up front financing cost(includes all costs paid to the lender and third parties exceptdiscount points) equal $3,000.
    1. Find the EBC if the borrower repays the loan after two years(assuming no direct points).
    2. What is the EBC if the lender charges one discount point?
    3. What is the EBC if the lender charges 2.5 discount point?

Answer & Explanation Solved by verified expert
3.9 Ratings (734 Votes)
Month Opening Loan Os Interest Opening Loan os interest Monthly Payment Closing Loan Os A B C AB D E C D 1 20000000 100000 20100000 119910 19980090 2 19980090 99900 20079990 119910 19960080 3 19960080 99800 20059881 119910 19939971 4 19939971 99700 20039671 119910 19919761 5 19919761 99599 20019360 119910 19899450 6 19899450 99497    See Answer
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!
Become a Member

Transcribed Image Text

Consider a 6%, 30 year, $200,000 level payment mortgage with amonthly payment of $1,199.10. Assume up front financing cost(includes all costs paid to the lender and third parties exceptdiscount points) equal $3,000.Find the EBC if the borrower repays the loan after two years(assuming no direct points).What is the EBC if the lender charges one discount point?What is the EBC if the lender charges 2.5 discount point?

Other questions asked by students

Q

Here are some problems and their answers. I would appreciate if someone could please explain step...

Chemistry
Q

An astronaut has left the International Space Station to test a new space scooter. Her partner...

Physics
Q

A3) i) To double the width of a reverse-biased pn junction, should the external voltage be doubled? ii)...

Electrical Engineering
Q

What are some cons using legal language vs using plain language

Biology
Q

6 5 4 3 515 4 3 2 6 5 4 3 2 1 24...

Algebra
Q

1 5t 5t

Algebra
Q

Considering GASB standards, With the help of an illustration each, explain the recognition of following...

Accounting
Q

Elmira Tool and Die makes machine tools to order. The following transactions occurred in October:...

Accounting
Q

Consider the following data for two products of Vigano Manufacturing. Activity Machine setup Parts handling...

Accounting
Q

Which of the following is not the main objective of accounting? of Select one: O...

Accounting
Q

Prepare Schedules M-1, K, and K-1 (for Blake Turin only) for tax year 2018. ...

Accounting
Q

What do you think is the most challenging financial issue facing school districts in states

Finance