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Vanyuwa [196]
1 year ago
5

A few years back, Dave and Jana bought a new home. They borrowed $230,415 at an annual fixed rate of 5.49% (15-year term) with m

onthly payments of $1,881.46. They just made their twenty-fifth payment and the current balance on the loan is $208,555.87. Interest rates are at an all-time low, and Dave and Jana are thinking of refinancing to a new 15-year fixed loan. Their bank has made the following offer: 15-year term, 3.0%, plus out-of-pocket costs of $2,937. The out-of-pocket costs must be paid in full at the time of refinancing. Build a spreadsheet model to evaluate this offer. The Excel function:
Business
1 answer:
Illusion [34]1 year ago
7 0

A few years back, Dave and Jana bought a new home. They borrowed $230,415 at an annual fixed rate of 5.49% (15-year term) with monthly payments of $1,881.46. They just made their twenty-fifth payment and the current balance on the loan is $208,555.87. Interest rates are at an all-time low, and Dave and Jana are thinking of refinancing to a new 15-year fixed loan. Their bank has made the following offer: 15-year term, 3.0%, plus out-of-pocket costs of $2,937. The out-of-pocket costs must be paid in full at the time of refinancing. Build a spreadsheet model to evaluate this offer. The Excel function: New monthly payment PMT(3%/12, 15*12, 208555.87, 0, 0) = $1,440.25 Now, we need find the additional amount.

<h3>What is Interest rates?</h3>

The amount of interest due each period expressed as a percentage of the amount lent, deposited, or borrowed is known as an interest rate (called the principal sum). The total interest on a loaned or borrowed sum is determined by the principal amount, the interest rate, the frequency of compounding, and the period of time the loan, deposit, or borrowing took place.

The interest rate over a year is known as the annual interest rate. Other interest rates are applicable over shorter time frames, such a day or a month, but they are typically annualized.

According to one definition, the interest rate "is an indication of the preference for a dollar of present [income] over a dollar of future income."

To learn more about interest rate from the given link:

brainly.com/question/886396

#SPJ4

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Most economists believe that only a small gap between the wages of white males and the wages of other groups is due to education
xz_007 [3.2K]

Answer:

The answer to the question is TRUE

Explanation:

Education is one of the most influential determinants of wages, so it is a contributing factor to the racial wage gap. Different levels of education between races lead to different salaries for different racial groups. Education affects wages as it allows access to higher status occupations that offer higher profits.

When the education of the different groups becomes more equal, the wage differences decrease, although they do not disappear.

The racial wage gap of blacks and whites has been observed to differ in the public and private sectors. When the education of the different groups becomes more equal, the wage differences decrease, although they do not disappear.

Having a university degree worsens the gap, contrary to the belief that education is key to a more egalitarian society.

The growing inequality has had a greater impact among young black graduates with university degrees in the years after the Great Recession than during any other period.

In the particular case of race, it could be said that because black individuals are on average poorer and receive lower quality education, employers prefer not to hire them, however many of the black candidates may be better able to perform the job. than the average white workers. In this case, the best educated black individuals get lower salaries due to the characteristics assigned to the group in general.

The failures that occur in the labor market are caused by the low investment in human capital that they acquire as children, which is transformed into productive human capital in adulthood.

Parental education significantly increases the returns of children's education.

Although African Americans and whites had access to similar levels of education, almost 6 percent of blacks who had higher education had no job, while among whites unemployment stood at almost half, with 3.5 Percent of unemployed among graduates.

3 0
3 years ago
According to Incoterms, the risk of loss under contract terms "FAS Name of Vessel" passes to the buyer when the goods are delive
AnnyKZ [126]

Answer: True

Explanation:

Free Alongside (FAS) is an International Commerce term (Incoterm) that is used to describe that a seller should deliver goods to within reach of a Buyer's transportation vessel so that it may be ready to be picked up by the Buyer's vessel easily.

"FAS Name of Vessel" means that the seller should deliver the goods next to the Vessel named so that it may then be re-loaded into the vessel. The risk therefore passes to the Buyer from the Seller once this is done.

6 0
3 years ago
Titanic Roofing Company has estimated the following amounts for its next fiscal​ year: Total fixed costs $ 840 comma 000 Sale pr
Nina [5.8K]

Answer:

Operating income increases by $40,000.

Explanation:

Given that,

Total fixed costs = $840,000

Sale price per unit = $60

Variable cost per unit = $30

Additional amount spend on advertising = $35,000

Sales volume would increase by 2,500 units.

Contribution margin:

= Sales - Variable costs

= $60 - $30

= $30 per unit

Increase in operating income:

= Increase in contribution margin - Increase in Fixed costs

= ($30 × 2,500 units) - $35,000

= $75,000 - $35,000

= $40,000

3 0
3 years ago
How do objectives make it more likely that you will reach your goals?
Bad White [126]

Answer:

C seems the most reasonable

3 0
2 years ago
Read 2 more answers
Please help! :)
Slav-nsk [51]

Answer:

True.

Explanation:

Arbitration and mediation are two alternative ways of resolving legal conflicts, that is, they are alternatives to judicial litigation.

Thus, arbitration involves the selection of an impartial third party (similar to a judge), who will decide through an award who of the parties is right, basing his decision on law, morals, ethics or common sense.

For its part, mediation involves a negotiation between the parties, assisted by a third party, the mediator, who will seek to reach an agreement.

Both alternatives imply that a lawsuit is not initiated, which in itself entails a notable economic and time saving for the parties in conflict.

6 0
2 years ago
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