Business, 24.06.2020 22:01 sophiav9627
Five years ago you obtained a 25-year $200,000 mortgage loan that has an interest rate of 14.5%. You can refinance the loan with a 15-year loan that has an interest rate of 12.0%. If you refinance the first loan, you will have to pay $4,000 of loan origination fees and a 2.5% prepayment penalty on the outstanding principal balance of the original loan. Assume further that you will borrow enough to pay off the remaining principal and all costs associated with refinancing.
Original Loan Info
Original Loan Amount $200,000,000
Original Interest Rate 14.5%
Original Term (years) 25
Periods 12
PMT (monthly)
NPERs already paid off
Balance outstanding after 5 years
Refinancing Load Info
Prepayment Penalty (%) 2.5%
RATE 12.0%
New Term (years) 15
Periods 12
Principal Borrowed
Loan Origination Fee $4000
Prepayment Penalty (Value)
Total Cost of loan
Required:
How much will you manage to save each month by refinancing?
Answers: 3
Business, 21.06.2019 23:00
How supply and demand work together to reach the equilibrium price in the marketplace? give at least a paragraph. you!
Answers: 3
Business, 22.06.2019 18:00
Carlton industries is considering a new project that they plan to price at $74.00 per unit. the variable costs are estimated at $39.22 per unit and total fixed costs are estimated at $12,085. the initial investment required is $8,000 and the project has an estimated life of 4 years. the firm requires a return of 8 percent. ignore the effect of taxes. what is the degree of operating leverage at the financial break-even level of output?
Answers: 3
Business, 23.06.2019 02:00
Heyak believed that the economy could be hard to measure because
Answers: 2
Five years ago you obtained a 25-year $200,000 mortgage loan that has an interest rate of 14.5%. You...
Chemistry, 20.11.2019 06:31
Mathematics, 20.11.2019 06:31
English, 20.11.2019 06:31
Mathematics, 20.11.2019 06:31
Mathematics, 20.11.2019 06:31
English, 20.11.2019 06:31
Mathematics, 20.11.2019 06:31