Reginald can afford a $1330 monthly mortgage payment. If the current
mortgage rates are 3.9% and he wants a 30-year mortgage, what is the
maximum amount he can afford to borrow?
O A. $451,782
O B. $478,519
O c. $281,978
O D. $476,002

0.84 dang lotta people are looking for this lol or if you round up its 1 but the overall answer to that is 0.84

step-by-step explanation:

17.08

correct me if i am wrong.

answer by yourhope:

hi! : )

a farmer that lived in ancient egypt would most likely be barried in the sand, in the desert!

: )

required rate of return = 0.166 = 16.6%

step-by-step explanation:

under the capital asset pricing model (capm), the required or expected rate of return for a particular security or asset is given using the formula:

required rate of return = risk-free rate + beta*(market risk premium)

we are given that;

risk-free rate = 4% = 0.04

beta = 1.4

market risk premium = 9% = 0.09

we simply plug these values into the above formula;

required rate of return = 0.04 + 1.4*(0.09)

required rate of return = 0.04 + 0.126

required rate of return = 0.166 = 16.6%